S03995 Summary:

BILL NOS03995B
 
SAME ASSAME AS A05723-B
 
SPONSORMAZIARZ
 
COSPNSRADDABBO, AVELLA, BOYLE, CARLUCCI, ESPAILLAT, GIPSON, GOLDEN, GRISANTI, HOYLMAN, KRUEGER, LANZA, LARKIN, LATIMER, LIBOUS, MARTINS, NOZZOLIO, PARKER, PERALTA, RANZENHOFER, RITCHIE, RIVERA, SAMPSON, SAVINO, SMITH, SQUADRON, STAVISKY, VALESKY, ZELDIN
 
MLTSPNSR
 
Amd SS3216, 3221 & 4303, Ins L
 
Relates to the purchase of prescription drugs.
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S03995 Memo:

Memo not available
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S03995 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         3995--B
 
                               2013-2014 Regular Sessions
 
                    IN SENATE
 
                                      March 4, 2013
                                       ___________
 
        Introduced  by  Sens. MAZIARZ, ADDABBO, AVELLA, BOYLE, CARLUCCI, ESPAIL-
          LAT,  GIPSON,  GOLDEN,  GRISANTI,  HOYLMAN,  LANZA,  LARKIN,  LATIMER,
          MARTINS, PARKER, PERALTA, RANZENHOFER, RITCHIE, SAMPSON, SMITH, STAVI-
          SKY,  VALESKY,  ZELDIN  --  read  twice  and ordered printed, and when
          printed to be committed to the Committee  on  Insurance  --  committee

          discharged, bill amended, ordered reprinted as amended and recommitted
          to  said  committee  --  recommitted  to the Committee on Insurance in
          accordance with Senate Rule 6, sec. 8 --  committee  discharged,  bill
          amended,  ordered reprinted as amended and recommitted to said commit-
          tee
 
        AN ACT to amend the insurance  law,  in  relation  to  the  purchase  of
          prescription drugs
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Paragraph 28 of subsection  (i)  of  section  3216  of  the
     2  insurance  law, as amended by chapter 11 of the laws of 2012, is amended
     3  to read as follows:
     4    (28) (A) Definitions. For the purpose of this paragraph:
     5    (1) "Same reimbursement amount" shall mean that any coverage described

     6  under subparagraph (B) of this paragraph shall provide the  same  bench-
     7  mark  index,  including the same average wholesale price, maximum allow-
     8  able cost and national prescription drug codes to reimburse all  pharma-
     9  cies  participating  in  the  insurance  network regardless of whether a
    10  pharmacy is a mail order pharmacy or a non-mail order pharmacy.
    11    (2) "Mail order pharmacy" means a pharmacy whose primary  business  is
    12  to   receive  prescriptions  by  mail,  telefax  or  through  electronic
    13  submissions and to dispense medication to patients through  the  use  of
    14  the  United States mail or other common or contract carrier services and
    15  provides any consultation with patients electronically rather than face-
    16  to-face.
 

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09462-07-4

        S. 3995--B                          2
 
     1    (B) Any policy that provides coverage  for  prescription  drugs  shall
     2  permit  each  insured  to  fill  any  covered  prescription  that may be
     3  obtained at a network participating mail order or other non-retail phar-
     4  macy, at the insured's option, at a network participating non-mail order
     5  retail  pharmacy  provided that the network participating non-mail order
     6  retail pharmacy agrees [in advance, through a contractual network agree-
     7  ment,] to the same reimbursement amount[, as well as the same applicable

     8  terms and conditions,] that the insurer has established for the  network
     9  participating  mail  order or other non-retail pharmacy. In such a case,
    10  the policy shall not impose a co-payment fee or other condition  on  any
    11  insured who elects to purchase prescription drugs from a network partic-
    12  ipating  non-mail  order  retail  pharmacy  which is not also imposed on
    13  insureds electing to purchase drugs from a  network  participating  mail
    14  order or other non-retail pharmacy.
    15    §  2.  Paragraph 18 of subsection (l) of section 3221 of the insurance
    16  law, as amended by chapter 11 of the laws of 2012, is amended to read as
    17  follows:
    18    (18) (A) Definitions. For the purpose of this paragraph:
    19    (1) "Same reimbursement amount" shall mean that any coverage described
    20  under subparagraph (B) of this paragraph shall provide the  same  bench-

    21  mark  index,  including the same average wholesale price, maximum allow-
    22  able cost and national prescription drug codes to reimburse all  pharma-
    23  cies  participating  in  the  insurance  network regardless of whether a
    24  pharmacy is a mail order pharmacy or a non-mail order pharmacy.
    25    (2) "Mail order pharmacy" means a pharmacy whose primary  business  is
    26  to   receive  prescriptions  by  mail,  telefax  or  through  electronic
    27  submissions and to dispense medication to patients through  the  use  of
    28  the  United States mail or other common or contract carrier services and
    29  provides any consultation with patients electronically rather than face-
    30  to-face.
    31    (B) Any insurer delivering a group or  blanket  policy  or  issuing  a

    32  group  or blanket policy for delivery in this state that provides cover-
    33  age for prescription drugs shall permit each insured to fill any covered
    34  prescription that may be obtained at a network participating mail  order
    35  or  other  non-retail  pharmacy,  at  the insured's option, at a network
    36  participating non-mail order retail pharmacy provided that  the  network
    37  participating non-mail order retail pharmacy agrees [in advance, through
    38  a  contractual network agreement,] to the same reimbursement amount[, as
    39  well as the same applicable terms and conditions,] that the insurer  has
    40  established for the network participating mail order or other non-retail
    41  pharmacy.  In  such a case, the policy shall not impose a co-payment fee
    42  or other condition on any insured who elects to purchase  drugs  from  a

    43  network  participating  non-mail order retail pharmacy which is not also
    44  imposed on insureds electing to purchase drugs from  a  network  partic-
    45  ipating mail order or other non-retail pharmacy; provided, however, that
    46  the  provisions  of  this  section  shall  not  supersede the terms of a
    47  collective bargaining agreement or apply to a policy that is the  result
    48  of  a  collective  bargaining agreement between an employer and a recog-
    49  nized or certified employee organization.
    50    § 3. Subsection (kk) of section 4303 of the insurance law, as  amended
    51  by  chapter  11  of  the laws of 2012 and as relettered by section 55 of
    52  part D of chapter 56 of the laws of 2013, is amended to read as follows:
    53    (kk) (1) Definitions. For the purpose of this subsection:
    54    (A) "Same reimbursement amount" shall mean that any coverage described

    55  under paragraph two of this subsection shall provide the same  benchmark
    56  index,  including  the  same  average wholesale price, maximum allowable

        S. 3995--B                          3
 
     1  cost and national prescription drug codes to  reimburse  all  pharmacies
     2  participating in the health benefit plan regardless of whether a pharma-
     3  cy is a mail order pharmacy or a non-mail order pharmacy.
     4    (B)  "Mail  order pharmacy" means a pharmacy whose primary business is
     5  to  receive  prescriptions  by  mail,  telefax  or  through   electronic
     6  submissions  and  to  dispense medication to patients through the use of
     7  the United States mail or other common or contract carrier services  and

     8  provides any consultation with patients electronically rather than face-
     9  to-face.
    10    (2)  Any contract issued by a medical expense indemnity corporation, a
    11  hospital service corporation  or  a  health  services  corporation  that
    12  provides  coverage  for  prescription  drugs  shall  permit each covered
    13  person to fill any covered  prescription  that  may  be  obtained  at  a
    14  network  participating  mail  order or other non-retail pharmacy, at the
    15  covered person's option,  at  a  network  participating  non-mail  order
    16  retail  pharmacy  provided that the network participating non-mail order
    17  retail pharmacy agrees [in advance, through a contractual network agree-
    18  ment,] to the same reimbursement amount[, as well as the same applicable

    19  terms and conditions,] that the  corporation  has  established  for  the
    20  network  participating mail order or other non-retail pharmacy.  In such
    21  a case, the contract shall not impose a copayment fee or other condition
    22  on any covered person who  elects  to  purchase  drugs  from  a  network
    23  participating  non-mail  order retail pharmacy which is not also imposed
    24  on covered persons electing to purchase drugs from a network participat-
    25  ing mail order or other non-retail pharmacy; provided, however, that the
    26  provisions of this section shall not supersede the terms of a collective
    27  bargaining agreement or apply to a contract that  is  the  result  of  a
    28  collective  bargaining agreement between an employer and a recognized or
    29  certified employee organization.
    30    § 4. This act shall take effect immediately.
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