Texas House Bill HB40

Texas 2021 - 87th Regular

Caption

Relating to a cap on the monthly price of insulin and insulin supplies.

Impact

The implementation of HB 40 is expected to significantly impact state laws related to health insurance and consumer protection. It mandates coverage for insulin under specific health insurance plans, particularly those offered to public employees through the Employees Retirement System of Texas and the Teacher Retirement System of Texas. By enforcing a cap on insulin costs, the bill aims to alleviate some of the financial burdens faced by individuals managing diabetes, thus promoting overall health outcomes for this population.

Summary

House Bill 40 aims to address the high costs associated with prescription insulin drugs by capping the out-of-pocket cost that consumers have to pay for these essential medications. Specifically, the bill states that the maximum amount a covered individual is required to pay for prescription insulin drugs shall not exceed $100 per thirty-day supply, regardless of the type or amount of insulin required. This legislative measure is an important step toward making insulin more affordable for diabetic patients statewide, ensuring that financial constraints do not hinder access to these critical treatments.

Contention

While proponents of the bill argue that it will provide crucial support to Texans with diabetes, critics express concerns about the broader implications of cost caps, particularly relating to the market dynamics of drug pricing and availability. Some fear that imposing such caps could lead to unintended consequences, such as reduced availability of certain insulin products or increased prices for other related healthcare services as providers and insurers adjust to these new regulations. Furthermore, the bill mandates an investigation into the pricing practices of insulin manufacturers, which may also become a point of contention as it could lead to scrutiny of profit margins and corporate practices.