States step up efforts to regulate pharmacy drug brokers
David Root – vice president of government affairs at Prime Therapeutics, one of Montana’s largest PBMs, which represents more than 30 million people nationwide – said increased legislative oversight is a classic case of shooting on the messenger.
“In some cases, we are the bearers of bad news,” he said.
Root said some of the changes taking place in Montana and elsewhere aren’t a problem, such as getting a state license and making rules about what PBMs communicate to insurers. But he said bills like the Montana’s go wrong in making the numbers public, potentially depriving companies of some of the power to negotiate with other players, which he says could lead to higher prices for gasoline. drugs.
Downing, Montana’s insurance commissioner, said state rules don’t say PBMs have to drastically change the way they operate – they just have to show some of their work along the way.
“At the best of times, with this transparency and this regulator, we are starting to see market forces improving costs for consumers,” Downing said. “In the worst case, two years from now we will know what we don’t know now and we can make better decisions on how to better tackle this problem. “
KHN (Kaiser Health News) is a national newsroom that produces in-depth journalism on health issues. Along with policy analysis and polls, KHN is one of the three main operational programs of the KFF (Kaiser Family Foundation). KFF is an endowed nonprofit organization that provides information on health issues to the nation.