Bill > SB475

This bill establishes the Pharmacy Services Administrative Organization (PSAO) Act to regulate and license organizations that provide administrative services to pharmacies when interacting with third-party payers and pharmacy benefits managers. The bill defines key terms, including administrative services (which range from claim assistance to marketing support), and requires PSAOs to obtain a license from the Insurance Commissioner, who will establish rules for licensing, fees, and compliance. PSAOs must disclose ownership relationships with drug manufacturers, service providers, and other related entities to pharmacies and third-party payers, ensuring transparency in their business operations. The legislation mandates that PSAOs cannot require pharmacies to purchase drugs exclusively from entities with which they have an ownership interest and must facilitate communication and appeals processes between pharmacies and third-party payers. The Insurance Commissioner is granted enforcement powers, including the ability to examine PSAO records, impose civil penalties up to $5,000 per violation, and revoke or suspend licenses for non-compliance. The primary goal of this act is to provide oversight and establish clear guidelines for the administrative organizations that help pharmacies navigate complex interactions with healthcare insurers and benefits managers.

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https://arkleg.state.ar.us/Bills/Detail?id=sb475&ddBienniumSession=2025%2F2025R