Del. Insurance Department To Regulate Pharmacy Benefit Manager Industry
The Delaware Department of Insurance will regulate the pharmacy benefit manager industry.
PBMs are a multi-billion dollar intermediary business that influences the costs of medications and what is covered by prescription drug plans.
State Insurance Commissioner Trinidad Navarro said through a new state law (HB 219), the department will have the ability to take enforcement measures to ensure that consumers have access to affordable medications. Also, he’s seeking to protect local pharmacies from “predatory” behaviors shown by industry, through more transparency and accountability.
“Alongside members of the General Assembly, advocates, pharmacy representatives and industry stakeholders, we have been working towards this goal for years,” Navarro said. “We have heard the voices of those who have had to travel hundreds of miles for their children’s medications. We have heard the plight of the local pharmacies, the way they have been financially devastated by PBM’s preference of their own chains. We have watched as other states were taken advantage of by these companies and cheered those states on as they took action to stop predatory practices. We have seen partners in this fight retaliated against by these companies, and we mourned as more and more neighborhood pharmacies had to close their doors.”
“Now, with these new powers, we say ‘No more.’”
The Delaware Department of Insurance will draft regulations in the coming months as it gets input from stakeholders. When draft regulations are published, the public will have 30 days to comment.