New Jersey is advancing significant pharmacy benefit manager (PBM) reform legislation that could dramatically reshape reimbursement practices, transparency obligations, and pharmacy network operations throughout the state. The proposed Patient and Provider Protection Act (A1502) would require PBMs to reimburse pharmacies at or above NADAC plus a dispensing fee, prohibit discriminatory reimbursement practices tied to pharmacy ownership, impose fiduciary obligations on PBMs, and restrict certain rebate and steering arrangements. The legislation seeks to address growing concerns over PBM influence within the prescription drug supply chain and the impact of vertically integrated pharmacy models.
In an article published in Drug Topics, Jesse Dresser discussed how the legislation could significantly impact pharmacy reimbursement structures, network participation requirements, and PBM oversight in New Jersey while reflecting a broader national push toward increased accountability and transparency within the prescription drug supply chain.
“New Jersey is looking to join a rapidly expanding cohort of states taking on these PBM practices.”
