California Governor Gavin Newsom is considering a bill that would regulate pharmacy benefit managers (PBMs), middlemen blamed for high prescription drug costs. The proposed law, spearheaded by Senator Scott Wiener, would require PBMs to pass along 100% of drug rebates to health plans and insurers, among other regulations. Proponents believe this would lower costs for consumers, while critics argue it would raise insurance premiums. PBMs are under scrutiny for their alleged profiteering and anticompetitive practices. The U.S. Supreme Court may soon address whether states have the authority to regulate PBMs. California has collected significant funds from PBMs not passing on drug discounts to the state.
Source link
California May Regulate and Restrict Pharmaceutical Brokers
