Bill Ensures PBMs are Working to Lower Prescription Drug Costs
DENVER, CO – Last night, the House Health and Human Services Committee passed House Bill 1094 on a bipartisan vote to help reduce the costs of prescription drugs for Coloradans by holding pharmacy benefit managers (PBMs) accountable.
In their role as middlemen in the prescription drug system, PBMs are meant to negotiate lower prescription medication costs on behalf of health insurers, large employers, and ultimately Colorado patients. However, PBMs are in fact taking advantage of their role and increasing out-of-pocket costs in order to secure larger profits. House Bill 1094 would prevent PBMs from generating revenue through high prescription prices, prevent them from restricting patient access to more affordable treatments, and ensure they pass on savings to patients as intended.
“I’m grateful to my colleagues for advancing this critical legislation. We need to make certain that our system is set up so that all Coloradans can access the critical medications they rely on, and that means holding PBMs accountable,” said Representative Brown. “Prescription drug costs have continued to increase for patients, straining family budgets. Our bipartisan bill will help rein in these costs and ensure that PBM savings are passed on to consumers.”
“The rising costs of prescription medications is something my constituents are very concerned about, and something that I am acutely aware of from personal experience,” said Representative Johnson. “Our bill will increase transparency into prescription drug pricing by encouraging PBMs to reduce medication prices and ensure that local, independent pharmacies–especially in our rural communities–are treated fairly.”
Recent polling shows that 70% of Colorado residents experienced at least one healthcare affordability crisis in the past year, 83% worried about affording healthcare in the future, and 68% of all respondents had delayed or went without healthcare due to cost.
“We had a large number of Coloradans eager to testify in favor of this bill today because they believe it will help increase access to the medications they need,” said Sara Froelich, Executive Director of the Chronic Care Collaborative. “It’s encouraging to see lawmakers from both sides of the aisle come together to increase transparency and accountability in our healthcare system and most importantly reduce out-of-pocket costs for patients and families.”
Learn more about PBMs and meaningful policy reforms to lower costs at pbmaccountabilityco.org
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