Bill Text: TX HB40 | 2021-2022 | 87th Legislature | Introduced
Bill Title: Relating to a cap on the monthly price of insulin and insulin supplies.
Spectrum: Slight Partisan Bill (Democrat 65-40)
Status: (Introduced - Dead) 2021-04-06 - Left pending in committee [HB40 Detail]
Download: Texas-2021-HB40-Introduced.html
By: Talarico | H.B. No. 40 |
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relating to a cap on the monthly price of insulin and insulin | ||
supplies. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Chapter 1358, Insurance Code, is amended by | ||
adding Section 1358.058 to read as follows: | ||
Sec. 1358.058. COST SHARING IN PRESCRIPTION INSULIN DRUGS - | ||
LIMITS CONFIDENTIALITY OF REBATE INFORMATION - DEFINITION -RULES. | ||
(1) As used in this section, unless the context other | ||
requires, "prescription insulin drug" means a prescription drug, as | ||
defined in section 1358.051, that contains insulin and is used to | ||
treat diabetes. | ||
(2) a carrier that provides coverage for prescription | ||
insulin drugs pursuant to the terms of a health coverage plan the | ||
carrier offers shall cap the total amount that a covered person is | ||
required to pay for a covered prescription insulin drug at an amount | ||
not to exceed one hundred dollars per thirty-day supply of insulin, | ||
regardless of the amount or type of insulin needed to fill the | ||
covered person's prescription. | ||
(3) nothing in this section prevents a carrier from | ||
reducing a covered person's cost sharing by an amount greater than | ||
the amount specified in subsection (2) of this section. | ||
(4) This section applies to health coverage plans | ||
offered by the Employees Retirement System of Texas and the Teacher | ||
Retirement System of Texas. | ||
(5) the commissioner may use any of the commissioner's | ||
enforcement powers to obtain a carrier's compliance with this | ||
section. | ||
(6) the commissioner may promulgate rules as necessary | ||
to implement and administer this section and to align with federal | ||
requirements. | ||
SECTION 2. Chapter 1358, Insurance Code, is amended by | ||
adding Section 1358.059 to read as follows: | ||
Sec. 1358.059. INVESTIGATION AND REPORTING OF PRESCRIPTION | ||
INSULIN DRUG PRICING. (a) The Department of Health and Human | ||
Services shall investigate and report on the pricing of | ||
prescription insulin drugs | ||
(1) made available to Texas consumers to ensure | ||
adequate consumer protections in pricing of prescription insulin | ||
drugs and whether additional consumer protections are needed. | ||
(2) (a) as part of the investigation by the | ||
department, the department shall gather, compile, and analyze | ||
information concerning the organization, business practices, | ||
pricing information, data, reports, or other information that the | ||
department finds necessary to fulfill the requirements of this | ||
section from companies engaged in the manufacture or sale of | ||
prescription insulin drugs. The department shall also consider any | ||
publicly available information related to drug pricing. | ||
(b) if necessary to fulfill the reporting | ||
requirements of this section, the attorney general may issue a | ||
civil investigative demand requiring a state department; carrier; | ||
pharmacy benefit management firm; or manufacturer of prescription | ||
insulin drugs that are made available in Texas, to furnish | ||
material, answers, data, or other relevant information. | ||
(3) a person or business shall not be compelled to | ||
provide trade secrets. | ||
(4) by September 1, 2022, the department shall issue | ||
and make available to the public a report detailing its findings | ||
from the investigation conducted pursuant to this section. The | ||
department shall present the report to the Governor, the Lieutenant | ||
Governor, the Speaker of the House, and the Senate Committee on | ||
Business and Commerce and the House Committee on Insurance or their | ||
successor committees. The report must include: | ||
(a) a summary of insulin pricing practices and | ||
variables that contribute to pricing of health coverage plans; | ||
(b) public policy recommendations to control and | ||
prevent overpricing of prescription insulin drugs made available to | ||
Texas consumers; | ||
(c) any recommendations to improve consumer | ||
protections, to prevent deceptive sales practices related to the | ||
sale of prescription insulin drugs, including the pricing of those | ||
drugs; and | ||
(d) any other information the department finds | ||
necessary. | ||
(5) this section is repealed, effective December 1, | ||
2022. | ||
SECTION 3. This Act applies only to a health benefit plan | ||
that is delivered, issued for delivery, or renewed on or after | ||
January 1, 2022. A health benefit plan that is delivered, issued for | ||
delivery, or renewed before January 1, 2022, is governed by the law | ||
as it existed immediately before the effective date of this Act, and | ||
that law is continued in effect for that purpose. | ||
SECTION 7. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2021. |