October 26, 2021

Prescription drug costs and their impact on medical coverage have drawn the attention of state and federal lawmakers. While Congress continues to debate the best approach to control these costs, states have moved ahead with an assortment of measures in recent years. Since the US Supreme Court in late 2020 upheld a state law regulating certain contract terms between pharmacy benefit managers (PBMs) and network pharmacies, more states have taken the opportunity to regulate PBM contract provisions that lawmakers view as abusive to pharmacists and/or their patients.

This article gives an overview of the different types of provisions in these laws and outlines considerations for employer plan sponsors. A chart provides state-by-state summaries of some recently enacted laws targeting drug costs or PBMs. Download the nine-page print-friendly PDF to read the full coverage.

Catherine Stamm
by Catherine Stamm

Principal, Mercer’s Law & Policy Group

David Dross
by David Dross

Partner, Mercer Pharmacy Practice

Rich Glass
by Rich Glass

Principal, Mercer’s Law & Policy Group


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