Bill > HF1075

This bill requires pharmacy benefit managers (PBMs) and health carriers to use prescription drug rebates and other compensation to directly benefit consumers by reducing their out-of-pocket costs at the point of sale. Specifically, PBMs and health carriers must pass along most manufacturer compensation directly to the covered person for a particular prescription drug, lowering the consumer's immediate cost. In cases where the consumer's cost-sharing is already low, the PBM or health carrier can retain the compensation but must apply it to offset future premiums or costs for covered persons. The bill defines "compensation" broadly to include rebates, discounts, credits, fees, and other financial benefits. Starting March 1, 2026, these entities must file annual reports with the state commissioner demonstrating their compliance with the new requirements. The bill also mandates that state employee group insurance contracts with PBMs include compliance with these provisions. The effective date for these new rules is January 1, 2026, giving organizations time to adjust their practices to meet the new requirements.

Health and Social Services

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF1075&ssn=0&y=2025