Massachusetts H1082 aims to reform pharmacy benefit manager compensation by regulating fees and prohibiting spread pricing.

The bill, Massachusetts H1082, introduces the Pharmacy Benefit Manager Compensation Reform Act of 2022. It mandates that pharmacy benefit managers (PBMs) in Massachusetts disclose all forms of revenue, including fees, in contracts with carriers or health benefit plans. The bill prohibits PBMs from deriving income from spread pricing, which is any amount charged beyond the ingredient cost of a drug plus the dispensing fee. PBMs must annually certify to the commissioner of insurance that they have fully complied with the requirements of the act.

Massachusetts H1082 aims to reform pharmacy benefit manager compensation by regulating fees and prohibiting spread pricing.

The bill, Massachusetts H1082, introduces the Pharmacy Benefit Manager Compensation Reform Act of 2022. It mandates that pharmacy benefit managers (PBMs) in Massachusetts disclose all forms of revenue, including fees, in contracts with carriers or health benefit plans. The bill prohibits PBMs from deriving income from spread pricing, which is any amount charged beyond the ingredient cost of a drug plus the dispensing fee. PBMs must annually certify to the commissioner of insurance that they have fully complied with the requirements of the act.