Bill > SB17

This bill aims to increase transparency around prescription drug costs and pricing. The key provisions are: 1. Requires health care service plans and health insurers to report detailed information on their most frequently prescribed, most costly, and fastest rising prescription drug costs to state regulators. The regulators must compile this data into an annual report on the overall impact of drug costs on health care premiums. 2. Requires drug manufacturers to provide advance notice and justification to purchasers (e.g. state agencies, health plans, PBMs) if they plan to increase the wholesale acquisition cost of a drug by more than 16% over a 2-year period. 3. Requires drug manufacturers to report detailed information on new high-cost drugs and increases in wholesale acquisition costs to a state agency, which will publish the information publicly. 4. Provides that funding for the state agency to implement these provisions will come from the Managed Care Fund and Insurance Fund, based on the proportion of covered lives in each insurance market. The bill seeks to provide more transparency and accountability around prescription drug pricing in order to help manage rising health care costs in California.