Governor Hochul signs landmark legislation for drug benefit managers
BUFFALO, NY (WKBW) – Governor Kathy Hochul has signed landmark legislation that will bring transparency and regulation to pharmacy benefit managers and hopefully save you money.
Pharmacy benefit managers are companies that administer prescription drug benefits on behalf of health insurers and large employers.
They are increasingly under scrutiny for their role in increasing the cost of prescription drugs.
This new law will require PBMs to be licensed and registered, and allow people to make more informed choices about their health care.
The State Department of Financial Services will enforce the law and receive complaints from consumers, pharmacies, and health care providers.
“In the midst of a global public health crisis, it is crucial that we seize every opportunity to improve the health care system and reduce costs for New Yorkers,” Governor Hochul said. “This landmark law creates the country’s most comprehensive regulatory framework for Pharmacy Benefit Managers, increasing transparency for consumers and highlighting the cost of prescription drugs. It can be difficult to manage the costs associated with drugs and insurance, which is why I am proud to sign this legislation to make things so much easier. “