HB0153

HOUSE BILL 153

53rd legislature - STATE OF NEW MEXICO - first session, 2017

INTRODUCED BY

Elizabeth "Liz" Thomson and Deborah A. Armstrong

and Elizabeth "Liz" Stefanics

AN ACT

RELATING TO HEALTH COVERAGE; ENACTING SECTIONS OF THE HEALTH CARE PURCHASING ACT, THE NEW MEXICO INSURANCE CODE, THE HEALTH MAINTENANCE ORGANIZATION LAW AND THE NONPROFIT HEALTH CARE PLAN LAW TO PROVIDE ENROLLEES WITH PARITY OF ACCESS AND PAYMENT BETWEEN PARTICIPATING MAIL-ORDER PHARMACIES AND PARTICIPATING COMMUNITY PHARMACIES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

SECTION 1. A new section of the Health Care Purchasing Act is enacted to read:

"[NEW MATERIAL] PHARMACY BENEFITS--PARTICIPATING PHARMACIES--ACCESS PARITY--COPAYMENT AND COINSURANCE PARITY.--

A. Group health coverage, including any form of self-insurance, offered, issued or renewed under the Health Care Purchasing Act, that offers a prescription drug or device benefit shall permit:

(1) any pharmacy or pharmacist licensed in the state to participate as a participating community pharmacy or participating mail-order pharmacy if that pharmacy agrees to accept the terms and conditions the group health coverage establishes; and

(2) an enrollee to fill a covered prescription at the enrollee's option at any participating community pharmacy or participating mail-order pharmacy; provided that the participating community pharmacy accepts reimbursement at a rate comparable to that of a participating mail-order pharmacy.

B. A group health plan shall not impose a copayment, coinsurance or other condition on an enrollee who elects to fill a covered prescription from any participating community pharmacy that is not also imposed on an enrollee who elects to fill a covered prescription at a participating mail-order pharmacy or at any other community pharmacy.

C. A group health plan shall not require an enrollee, as a condition of payment or reimbursement, to purchase pharmacy services, including prescription drugs, exclusively through a mail-order pharmacy.

D. Any provision in a group health plan, including any form of self-insurance, offered, issued or renewed under the Health Care Purchasing Act, that is contrary to any provision of this section is void to the extent of that conflict.

E. As used in this section:

(1) "covered prescription" means a drug or device for which a group health plan has agreed to make reimbursement under the terms of the group health plan;

(2) "participating community pharmacy" means a retail pharmacy:

(a) for which a majority of the pharmacy's business in the state is not conducted as a mail-order pharmacy; and

(b) that has agreed to accept a group health plan's contracted payment rate, and, pursuant to this agreement, an enrollee may fill a prescription and pay a copayment or coinsurance that is more advantageous to the enrollee than the copayment or coinsurance for a prescription sought from a retail pharmacy that has not agreed to the group health plan's contracted payment rate; and

(3) "participating mail-order pharmacy" means a retail pharmacy:

(a) located in the United States;

(b) for which the majority of the pharmacy's business consists of dispensing a prescription drug or device under a prescription drug order and having the drug or device delivered to a patient by the United States mail, a common carrier or a delivery service. Mail-order pharmacies include pharmacies that do business via the internet or other electronic media; and

(c) that has agreed to accept a group health plan's contracted payment rate, and, pursuant to this agreement, an enrollee may fill a prescription and pay a copayment or coinsurance that is more advantageous to the enrollee than the copayment or coinsurance for a prescription sought from a retail pharmacy that has not agreed to the group health plan's contracted payment rate."

SECTION 2. A new section of Chapter 59A, Article 22 NMSA 1978 is enacted to read:

"[NEW MATERIAL] PHARMACY BENEFITS--PARTICIPATING PHARMACIES--ACCESS PARITY--COPAYMENT AND COINSURANCE PARITY.--

A. An individual health insurance policy, health care plan or certificate of health insurance that is delivered, issued for delivery or renewed in this state and that provides a prescription drug or device benefit shall permit:

(2) an insured to fill a covered prescription at the insured's option at any participating community pharmacy or participating mail-order pharmacy; provided that the participating community pharmacy accepts reimbursement at a rate comparable to that of a participating mail-order pharmacy.

B. An insurer shall not impose a copayment, coinsurance or other condition on an insured who elects to fill a covered prescription from any participating community pharmacy that is not also imposed on an insured who elects to fill a covered prescription at any participating mail-order pharmacy.

C. An insurer shall not require an insured, as a condition of payment or reimbursement, to purchase pharmacy services, including prescription drugs, exclusively through a mail-order pharmacy.

D. A health insurance policy, health care plan or certificate of insurance that is delivered, issued for delivery or renewed in this state and that contains a provision contrary to any provision of this section is void to the extent of that conflict.

E. As used in this section:

(1) "covered prescription" means a drug or device for which a group health plan has agreed to make reimbursement under the terms of the policy, plan or certificate;

(2) "participating community pharmacy" means a retail pharmacy:

(a) for which a majority of the pharmacy's business in the state is not conducted as a mail-order pharmacy; and

(b) that has agreed to accept an insurer's contracted payment rate, and, pursuant to this agreement, an insured may fill a prescription and pay a copayment or coinsurance that is more advantageous to the insured than the copayment or coinsurance for a prescription sought from a retail pharmacy that has not agreed to the insurer's contracted payment rate; and

(3) "participating mail-order pharmacy" means a retail pharmacy:

(a) located in the United States;

(c) that has agreed to accept an insurer's contracted payment rate, and, pursuant to this agreement, an insured may fill a prescription and pay a copayment or coinsurance that is more advantageous to the insured than the copayment or coinsurance for a prescription sought from a retail pharmacy that has not agreed to the insurer's contracted payment rate."

SECTION 3. A new section of Chapter 59A, Article 23 NMSA 1978 is enacted to read:

"[NEW MATERIAL] PHARMACY BENEFITS--PARTICIPATING PHARMACIES--ACCESS PARITY--COPAYMENT AND COINSURANCE PARITY.--

A. A group or blanket health insurance policy, health care plan or certificate of health insurance that is delivered, issued for delivery or renewed in this state and that provides a prescription drug or device benefit shall permit:

C. An insurer shall not require an insured, as a condition of payment or reimbursement, to purchase pharmacy services, including prescription drugs, exclusively through a mail-order pharmacy.

E. As used in this section:

(1) "covered prescription" means a drug or device for which a group health plan has agreed to make reimbursement under the terms of the group health plan;

(2) "participating community pharmacy" means a retail pharmacy:

(a) for which a majority of the pharmacy's business in the state is not conducted as a mail-order pharmacy; and

(3) "participating mail-order pharmacy" means a retail pharmacy:

(a) located in the United States;

SECTION 4. A new section of the Health Maintenance Organization Law is enacted to read:

"[NEW MATERIAL] PHARMACY BENEFITS--PARTICIPATING PHARMACIES--ACCESS PARITY--COPAYMENT AND COINSURANCE PARITY.--

A. An individual or group health maintenance organization contract that is delivered, issued for delivery or renewed in this state and that provides a prescription drug or device benefit shall permit:

B. A health maintenance organization shall not impose a copayment, coinsurance or other condition on an enrollee who elects to fill a covered prescription from any participating community pharmacy that is not also imposed on an enrollee who elects to fill a covered prescription at a participating mail-order pharmacy.

C. An insurer shall not require an enrollee, as a condition of payment or reimbursement, to purchase pharmacy services, including prescription drugs, exclusively through a mail-order pharmacy.

E. As used in this section:

(1) "covered prescription" means a drug or device for which a group health plan has agreed to make reimbursement under the terms of the group health plan;

(2) "participating community pharmacy" means a retail pharmacy:

(a) for which a majority of the pharmacy's business in the state is not conducted as a mail-order pharmacy; and

(b) that has agreed to accept a health maintenance organization's contracted payment rate, and, pursuant to this agreement, an enrollee may fill a prescription and pay a copayment or coinsurance that is more advantageous to the enrollee than the copayment or coinsurance for a prescription sought from a retail pharmacy that has not agreed to the health maintenance organization's contracted payment rate; and

(3) "participating mail-order pharmacy" means a retail pharmacy:

(a) located in the United States;

(c) that has agreed to accept a health maintenance organization's contracted payment rate, and, pursuant to this agreement, an enrollee may fill a prescription and pay a copayment or coinsurance that is more advantageous to the enrollee than the copayment or coinsurance for a prescription sought from a retail pharmacy that has not agreed to the health maintenance organization's contracted payment rate."

SECTION 5. A new section of the Nonprofit Health Care Plan Law is enacted to read:

"[NEW MATERIAL] PHARMACY BENEFITS--PARTICIPATING PHARMACIES--ACCESS PARITY--COPAYMENT AND COINSURANCE PARITY.--

A. An individual or group health care plan that is delivered, issued for delivery or renewed in this state and that provides a prescription drug or device benefit shall permit:

(2) a subscriber to fill a covered prescription at the subscriber's option at any participating community pharmacy or participating mail-order pharmacy; provided that the participating community pharmacy accepts reimbursement at a rate comparable to that of a participating mail-order pharmacy.

B. A health care plan shall not impose a copayment, coinsurance or other condition on a subscriber who elects to fill a covered prescription from any participating community pharmacy that is not also imposed on a subscriber who elects to fill a covered prescription at a participating mail-order pharmacy.

C. A health maintenance organization shall not require a subscriber, as a condition of payment or reimbursement, to purchase pharmacy services, including prescription drugs, exclusively through a mail-order pharmacy.

D. A health maintenance organization contract that contains a provision contrary to any provision of this section is void to the extent of that conflict.

E. As used in this section:

(1) "covered prescription" means a drug or device for which a group health plan has agreed to make reimbursement under the terms of the group health plan;

(2) "participating community pharmacy" means a retail pharmacy:

(a) for which a majority of the pharmacy's business in the state is not conducted as a mail-order pharmacy; and

(b) that has agreed to accept a health care plan's contracted payment rate, and, pursuant to this agreement, a subscriber may fill a prescription and pay a copayment or coinsurance that is more advantageous to the subscriber than the copayment or coinsurance for a prescription sought from a retail pharmacy that has not agreed to the health care plan's contracted payment rate; and

(3) "participating mail-order pharmacy" means a retail pharmacy:

(a) located in the United States;

(b) for which the majority of the pharmacy's business consists of dispensing a prescription drug or device under a prescription drug order and having the drug or device delivered to a subscriber by the United States mail, a common carrier or a delivery service. Mail-order pharmacies include pharmacies that do business via the internet or other electronic media; and

(c) that has agreed to accept a health care plan's contracted payment rate, and, pursuant to this agreement, a subscriber may fill a prescription and pay a copayment or coinsurance that is more advantageous to the subscriber than the copayment or coinsurance for a prescription sought from a retail pharmacy that has not agreed to the health care plan's contracted payment rate."

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