Pharmaceutical Costs

Last week, California enacted the first-in-the-nation state law to combat pay-for-delay deals between brand-name and generic pharmaceutical drug manufacturers. In a pay-for-delay deal, a brand manufacturer pays a generic competitor to settle patent litigation and keep the lower-cost version of the drug off the market. Delaying market entry of generic drugs limits competition and can […]

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  • State Health Policy Blog

    Implementing Rx Drug Transparency: States Are Shining a Light on High-Cost Drugs and their Impact on Premiums

    As health plans prepare to submit rate filings, a new report from Oregon’s Division of Financial Regulation’s Prescription Drug Price Transparency Program illuminates just how much prescription drug prices impact insurance premiums. To increase health care cost transparency, Oregon requires health insurance companies to report on the impact of prescription drug prices on insurance plan […]

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  • State Health Policy Blog

    New PBM Laws Reflect States’ Targeted Approaches to Curb Prescription Drug Costs

    In 2019, states built on the momentum that had been gaining in recent years and passed targeted legislation to address the role harmful pharmacy benefit manager (PBM) business practices play in escalating prescription drug prices. The laws supporting these approaches, described below, give states enforcement mechanisms to ensure that the discounts that PBMs recoup are […]

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    August 12, 2019 | Filed under: Front Page, Pharmaceutical Costs, State Health Policy Blog

  • State Health Policy Blog

    In 2019, State Legislatures Took Targeted, Aggressive Steps to Curb Drug Spending

    Most state legislatures have adjourned after busy sessions that again focused on reining in prescription drug prices. By the end of June, 29 states had enacted 46 new drug pricing laws that build on earlier work and took more comprehensive and far-reaching approaches to curb rising drug prices. As in years past, states targeted pharmacy […]

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  • New Recipes to Control Rx Pricing

    Thursday, August 22, 10 am – 11:30 am This session offers new policy ideas for controlling drug prices. The proposals will be based on deliberations by NASHP’s Pharmacy Cost Work Group, the group who developed the “Call to Action” on drug prices in 2016. Since then, other policies have emerged, including new strategies for regulating […]

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  • State Health Policy Blog

    A New State Tool to Manage Drug Costs: Experts Share Insights into Outcome-Based Contracts for Medicaid Pharmacy Claims

    Colorado and Michigan have joined Oklahoma to become the nation’s pioneering states with approved State Plan Amendments (SPAs) that enable Medicaid alternative payment models (APMs) for prescription drugs in the form of outcome-based contracts with pharmaceutical manufacturers. In early May, state experts from Oklahoma, Colorado, and Michigan shared their experiences implementing their APMs during a […]

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  • State Health Policy Blog

    Delaware Takes on High Prescription Drug Costs by Leveraging Public Purchasers

    Delaware’s state Legislature has established the Interagency Pharmaceuticals Purchasing Study Group to recommend steps to leverage bulk purchasing of drugs to effectively negotiate lower prices by using interagency and multistate purchasing contracts, and other approaches. The measure easily passed the House on a voice vote and unanimously passed the Senate. The study group has an […]

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  • State Health Policy Blog

    New Law Enables New Mexico to Leverage State Purchasing Power to Lower Rx Spending

    New Mexico Gov. Lujan Grisham recently signed into law SB 131, establishing a state Interagency Pharmacy Purchasing Council to leverage public purchasing power by reviewing and coordinating cost-containment strategies through procurement of pharmaceuticals, pharmaceutical benefits, and pooling of risk among state agencies. Cosponsored by state Sen. Jeff Steinborn* and Rep. Joanne Farrary, the law also […]

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  • State Health Policy Blog

    Maryland Passes Nation’s First Prescription Drug Affordability Board Legislation

    On April 8, 2019, the Maryland General Assembly passed legislation that which would create the first state Prescription Drug Affordability Board (PDAB) to address the costs of certain high-priced drugs in Maryland. Gov. Larry Hogan has until May 31, 2019, to sign or veto the bill. If he signs the bill or does nothing, the […]

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  • Publications

    Cross-Agency Strategies to Curb Health Care Costs: Leveraging State Purchasing Power

    Rising health care costs are an intractable problem in the United States, but states, faced with balanced budget requirements and growing voter concern, aren’t waiting for a federal solution. This report explores state initiatives to curb health care costs by:  Leveraging Medicare’s well-established reimbursement rates as reference prices for state employee plans to address rising […]

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