Bill Text: TX SB727 | 2021-2022 | 87th Legislature | Introduced

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Bill Title: Relating to certain prohibited practices by pharmacy benefit managers.

Spectrum: Partisan Bill (Republican 3-0)

Status: (Introduced - Dead) 2021-03-11 - Referred to Business & Commerce [SB727 Detail]

Download: Texas-2021-SB727-Introduced.html

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87R6580 JES-F
By: Schwertner S.B. No. 727

A BILL TO BE ENTITLED
AN ACT
relating to certain prohibited practices by pharmacy benefit
managers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 4151.151, Insurance Code, is amended to
read as follows:
Sec. 4151.151. DEFINITIONS [DEFINITION]. In this
subchapter:
(1) "Affiliated pharmacist or pharmacy" means a
pharmacist or pharmacy that directly, or indirectly through one or
more intermediaries, controls or is controlled by, or is under
common control with, a pharmacy benefit manager.
(2) "Pharmacy [, "pharmacy] benefit manager" means a
person, other than a pharmacy or pharmacist, who acts as an
administrator in connection with pharmacy benefits.
SECTION 2. Subchapter D, Chapter 4151, Insurance Code, is
amended by adding Sections 4151.155 and 4151.156 to read as
follows:
Sec. 4151.155. PROHIBITION ON CERTAIN REFERRALS. (a) A
pharmacy benefit manager may not steer or direct a patient to use an
affiliated pharmacist or pharmacy through any oral or written
communication, including:
(1) online messaging regarding the pharmacist or
pharmacy; or
(2) patient- or prospective patient-specific
advertising, marketing, or promotion of the pharmacist or pharmacy.
(b) This section does not prohibit a pharmacy benefit
manager from including an affiliated pharmacist or pharmacy in the
manager's patient communications, including in a patient- or
prospective patient-specific communication, if the communication:
(1) is regarding in-network pharmacies and prices for
a health benefit plan;
(2) is accurate; and
(3) includes in-network pharmacists or pharmacies
that are not affiliated pharmacists or pharmacies.
(c) An affiliated pharmacist or pharmacy may not present a
claim for payment to any individual or entity, including to a
third-party payor, health benefit plan, or pharmacy benefit
manager, for a health care service or supply provided to a patient
who was improperly steered or directed to use the affiliated
pharmacist or pharmacy in violation of Subsection (a).
Sec. 4151.156. PROHIBITION ON SHARING PATIENT INFORMATION
FOR CERTAIN PURPOSES. (a) In this section, "commercial purpose"
does not include pharmacy reimbursement, formulary compliance,
pharmaceutical care, utilization review by a health care provider,
or a public health activity authorized by law.
(b) A pharmacy benefit manager may not transfer to or
receive from an affiliated pharmacist or pharmacy a record
containing patient- or prescriber-identifiable prescription
information for a commercial purpose.
SECTION 3. This Act takes effect September 1, 2021.