Bill Text: NY S03995 | 2013-2014 | General Assembly | Amended


Bill Title: Relates to the purchase of prescription drugs.

Spectrum: Bipartisan Bill

Status: (Introduced - Dead) 2014-04-30 - PRINT NUMBER 3995B [S03995 Detail]

Download: New_York-2013-S03995-Amended.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                        3995--B
                              2013-2014 Regular Sessions
                                   I N  S E N A T E
                                     March 4, 2013
                                      ___________
       Introduced  by  Sens. MAZIARZ, ADDABBO, AVELLA, BOYLE, CARLUCCI, ESPAIL-
         LAT,  GIPSON,  GOLDEN,  GRISANTI,  HOYLMAN,  LANZA,  LARKIN,  LATIMER,
         MARTINS, PARKER, PERALTA, RANZENHOFER, RITCHIE, SAMPSON, SMITH, STAVI-
         SKY,  VALESKY,  ZELDIN  --  read  twice  and ordered printed, and when
         printed to be committed to the Committee  on  Insurance  --  committee
         discharged, bill amended, ordered reprinted as amended and recommitted
         to  said  committee  --  recommitted  to the Committee on Insurance in
         accordance with Senate Rule 6, sec. 8 --  committee  discharged,  bill
         amended,  ordered reprinted as amended and recommitted to said commit-
         tee
       AN ACT to amend the insurance  law,  in  relation  to  the  purchase  of
         prescription drugs
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Paragraph 28 of subsection  (i)  of  section  3216  of  the
    2  insurance  law, as amended by chapter 11 of the laws of 2012, is amended
    3  to read as follows:
    4    (28) (A) DEFINITIONS. FOR THE PURPOSE OF THIS PARAGRAPH:
    5    (1) "SAME REIMBURSEMENT AMOUNT" SHALL MEAN THAT ANY COVERAGE DESCRIBED
    6  UNDER SUBPARAGRAPH (B) OF THIS PARAGRAPH SHALL PROVIDE THE  SAME  BENCH-
    7  MARK  INDEX,  INCLUDING THE SAME AVERAGE WHOLESALE PRICE, MAXIMUM ALLOW-
    8  ABLE COST AND NATIONAL PRESCRIPTION DRUG CODES TO REIMBURSE ALL  PHARMA-
    9  CIES  PARTICIPATING  IN  THE  INSURANCE  NETWORK REGARDLESS OF WHETHER A
   10  PHARMACY IS A MAIL ORDER PHARMACY OR A NON-MAIL ORDER PHARMACY.
   11    (2) "MAIL ORDER PHARMACY" MEANS A PHARMACY WHOSE PRIMARY  BUSINESS  IS
   12  TO   RECEIVE  PRESCRIPTIONS  BY  MAIL,  TELEFAX  OR  THROUGH  ELECTRONIC
   13  SUBMISSIONS AND TO DISPENSE MEDICATION TO PATIENTS THROUGH  THE  USE  OF
   14  THE  UNITED STATES MAIL OR OTHER COMMON OR CONTRACT CARRIER SERVICES AND
   15  PROVIDES ANY  CONSULTATION  WITH  PATIENTS  ELECTRONICALLY  RATHER  THAN
   16  FACE-TO-FACE.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09462-07-4
       S. 3995--B                          2
    1    (B)  Any  policy  that  provides coverage for prescription drugs shall
    2  permit each insured  to  fill  any  covered  prescription  that  may  be
    3  obtained at a network participating mail order or other non-retail phar-
    4  macy, at the insured's option, at a network participating non-mail order
    5  retail  pharmacy  provided that the network participating non-mail order
    6  retail pharmacy agrees [in advance, through a contractual network agree-
    7  ment,] to the same reimbursement amount[, as well as the same applicable
    8  terms and conditions,] that the insurer has established for the  network
    9  participating  mail  order or other non-retail pharmacy. In such a case,
   10  the policy shall not impose a co-payment fee or other condition  on  any
   11  insured who elects to purchase prescription drugs from a network partic-
   12  ipating  non-mail  order  retail  pharmacy  which is not also imposed on
   13  insureds electing to purchase drugs from a  network  participating  mail
   14  order or other non-retail pharmacy.
   15    S  2.  Paragraph 18 of subsection (l) of section 3221 of the insurance
   16  law, as amended by chapter 11 of the laws of 2012, is amended to read as
   17  follows:
   18    (18) (A) DEFINITIONS. FOR THE PURPOSE OF THIS PARAGRAPH:
   19    (1) "SAME REIMBURSEMENT AMOUNT" SHALL MEAN THAT ANY COVERAGE DESCRIBED
   20  UNDER SUBPARAGRAPH (B) OF THIS PARAGRAPH SHALL PROVIDE THE  SAME  BENCH-
   21  MARK  INDEX,  INCLUDING THE SAME AVERAGE WHOLESALE PRICE, MAXIMUM ALLOW-
   22  ABLE COST AND NATIONAL PRESCRIPTION DRUG CODES TO REIMBURSE ALL  PHARMA-
   23  CIES  PARTICIPATING  IN  THE  INSURANCE  NETWORK REGARDLESS OF WHETHER A
   24  PHARMACY IS A MAIL ORDER PHARMACY OR A NON-MAIL ORDER PHARMACY.
   25    (2) "MAIL ORDER PHARMACY" MEANS A PHARMACY WHOSE PRIMARY  BUSINESS  IS
   26  TO   RECEIVE  PRESCRIPTIONS  BY  MAIL,  TELEFAX  OR  THROUGH  ELECTRONIC
   27  SUBMISSIONS AND TO DISPENSE MEDICATION TO PATIENTS THROUGH  THE  USE  OF
   28  THE  UNITED STATES MAIL OR OTHER COMMON OR CONTRACT CARRIER SERVICES AND
   29  PROVIDES ANY  CONSULTATION  WITH  PATIENTS  ELECTRONICALLY  RATHER  THAN
   30  FACE-TO-FACE.
   31    (B)  Any  insurer  delivering  a  group or blanket policy or issuing a
   32  group or blanket policy for delivery in this state that provides  cover-
   33  age for prescription drugs shall permit each insured to fill any covered
   34  prescription  that may be obtained at a network participating mail order
   35  or other non-retail pharmacy, at the  insured's  option,  at  a  network
   36  participating  non-mail  order retail pharmacy provided that the network
   37  participating non-mail order retail pharmacy agrees [in advance, through
   38  a contractual network agreement,] to the same reimbursement amount[,  as
   39  well  as the same applicable terms and conditions,] that the insurer has
   40  established for the network participating mail order or other non-retail
   41  pharmacy. In such a case, the policy shall not impose a  co-payment  fee
   42  or  other  condition  on any insured who elects to purchase drugs from a
   43  network participating non-mail order retail pharmacy which is  not  also
   44  imposed  on  insureds  electing to purchase drugs from a network partic-
   45  ipating mail order or other non-retail pharmacy; provided, however, that
   46  the provisions of this section  shall  not  supersede  the  terms  of  a
   47  collective  bargaining agreement or apply to a policy that is the result
   48  of a collective bargaining agreement between an employer  and  a  recog-
   49  nized or certified employee organization.
   50    S  3. Subsection (kk) of section 4303 of the insurance law, as amended
   51  by chapter 11 of the laws of 2012 and as relettered  by  section  55  of
   52  part D of chapter 56 of the laws of 2013, is amended to read as follows:
   53    (kk) (1) DEFINITIONS. FOR THE PURPOSE OF THIS SUBSECTION:
   54    (A) "SAME REIMBURSEMENT AMOUNT" SHALL MEAN THAT ANY COVERAGE DESCRIBED
   55  UNDER  PARAGRAPH TWO OF THIS SUBSECTION SHALL PROVIDE THE SAME BENCHMARK
   56  INDEX, INCLUDING THE SAME AVERAGE  WHOLESALE  PRICE,  MAXIMUM  ALLOWABLE
       S. 3995--B                          3
    1  COST  AND  NATIONAL  PRESCRIPTION DRUG CODES TO REIMBURSE ALL PHARMACIES
    2  PARTICIPATING IN THE HEALTH BENEFIT PLAN REGARDLESS OF WHETHER A PHARMA-
    3  CY IS A MAIL ORDER PHARMACY OR A NON-MAIL ORDER PHARMACY.
    4    (B)  "MAIL  ORDER PHARMACY" MEANS A PHARMACY WHOSE PRIMARY BUSINESS IS
    5  TO  RECEIVE  PRESCRIPTIONS  BY  MAIL,  TELEFAX  OR  THROUGH   ELECTRONIC
    6  SUBMISSIONS  AND  TO  DISPENSE MEDICATION TO PATIENTS THROUGH THE USE OF
    7  THE UNITED STATES MAIL OR OTHER COMMON OR CONTRACT CARRIER SERVICES  AND
    8  PROVIDES  ANY  CONSULTATION  WITH  PATIENTS  ELECTRONICALLY  RATHER THAN
    9  FACE-TO-FACE.
   10    (2) Any contract issued by a medical expense indemnity corporation,  a
   11  hospital  service  corporation  or  a  health  services corporation that
   12  provides coverage for  prescription  drugs  shall  permit  each  covered
   13  person  to  fill  any  covered  prescription  that  may be obtained at a
   14  network participating mail order or other non-retail  pharmacy,  at  the
   15  covered  person's  option,  at  a  network  participating non-mail order
   16  retail pharmacy provided that the network participating  non-mail  order
   17  retail pharmacy agrees [in advance, through a contractual network agree-
   18  ment,] to the same reimbursement amount[, as well as the same applicable
   19  terms  and  conditions,]  that  the  corporation has established for the
   20  network participating mail order or other non-retail pharmacy.  In  such
   21  a case, the contract shall not impose a copayment fee or other condition
   22  on  any  covered  person  who  elects  to  purchase drugs from a network
   23  participating non-mail order retail pharmacy which is not  also  imposed
   24  on covered persons electing to purchase drugs from a network participat-
   25  ing mail order or other non-retail pharmacy; provided, however, that the
   26  provisions of this section shall not supersede the terms of a collective
   27  bargaining  agreement  or  apply  to  a contract that is the result of a
   28  collective bargaining agreement between an employer and a recognized  or
   29  certified employee organization.
   30    S 4. This act shall take effect immediately.
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