Bill > SB128

This bill aims to regulate prescription drug costs and rebates, requiring that any rebates negotiated between drug manufacturers and insurers or pharmacy benefit managers (PBMs) – which are entities that manage prescription drug benefits on behalf of health plans – must be passed on to consumers. Specifically, the cost-sharing for a prescription drug, such as copayments or coinsurance, must be calculated after at least 100% of the rebate value has been applied, effectively lowering the patient's out-of-pocket expense at the point of sale. Any remaining rebate funds must be used to reduce health plan premiums. The bill also establishes that the actual amounts of these rebates are considered trade secrets and are protected under trade secret laws, preventing their disclosure in a way that could identify specific products, manufacturers, or pharmacies, though regulatory bodies can still access this information for compliance and enforcement purposes. These provisions will apply to health plans issued or renewed on or after January 1, 2027, and will extend to limited health service benefit plans, limited health service organizations, the state employee health plan, and self-insured employer group health plans provided by governing boards of state postsecondary education institutions.

https://apps.legislature.ky.gov/record/26RS/sb128.html