The legal landscape for pharmacy benefit managers (PBMs) continues to shift as states pass new laws and courts weigh in on how those laws interact with federal ERISA requirements. These developments are creating new challenges for self-funded health plans trying to stay compliant.
In our recent article for HR.com, we examined several key updates, including how a portion of Tennessee’s PBM law has been found to be preempted by ERISA, while certain Arkansas reporting requirements are not. We also discussed the start of enforcement of Florida’s reporting obligations and Texas’ position that its PBM legislation is not preempted by ERISA.
We shared insights on what these changes mean for plan sponsors and how state-level PBM reform continues to evolve. As we noted in the article, “Given the recent increase in prescription drug legislation and related litigation, state-level PBM reform and its impact on self-funded ERISA plans are continuously evolving. Staying informed on new laws, ERISA preemption challenges and related developments is critical for self-funded ERISA plan sponsors to avoid being caught in a shifting landscape without a map.”
The full article, “State PBM Laws: A Complicated Landscape for Self-Funded Health Plans to Navigate,” was published by HR.com on October 28 and is available online.