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42 U.S.C. § 300gg–120Reporting on pharmacy benefits and drug costs

submitted 82 years ago by Pub. L. 116-260 to r/title-42-THE-PUBLIC-HEALTH-AND-WELFARE · 552 words · no verdicts yet

in plain englishAI-generated · not legal advice

Health plans must report detailed drug-cost and premium data to federal regulators every year, including their priciest and most-used drugs and how rebates affect premiums. Every two years, HHS must publish an aggregated public report on drug pricing trends. Confidential business information stays out of that public report.

(a) In general No later than 1 year after December 27, 2020, and by June 1 of every year after that, group health plans and issuers of group or individual coverage — except church plans — must report to the Secretary, the Secretary of Labor, and the Secretary of the Treasury a set of facts about the previous plan year: the plan year's start and end dates; the number of enrollees; every state where the plan or coverage is offered; the 50 brand-name prescription drugs dispensed most often, and the number of paid claims for each; the 50 costliest prescription drugs by total annual spending, and how much was spent on each; the 50 drugs whose plan spending grew the most compared with the prior plan year, and by how much; total health care spending broken down by hospital costs, provider and clinical-service costs (primary and specialty care shown separately), prescription drug costs, and other medical costs including wellness services, plus drug spending split between what the plan pays and what enrollees pay; the average monthly premium paid by employers and separately by enrollees; how rebates, fees, and other payments from drug manufacturers affect premiums, including amounts by therapeutic drug class and amounts for the 25 drugs that generated the most rebates; and any reduction in premiums or out-of-pocket costs tied to those rebates. (b) Report No later than 18 months after the first report under (a) is due, and every two years after that, the Secretary — acting through the Assistant Secretary for Planning and Evaluation and working with the HHS Inspector General — must publish a report on the internet about prescription drug reimbursement, drug pricing trends, and how drug costs affect premiums. The report must combine the data in a way that doesn't reveal information about any specific drug or plan. (c) Privacy protections Any confidential or trade-secret information submitted under (a) can't be included in the public report under (b).
the actual law source: uscode.house.gov ↗public domain
(a) In general

Not later than 1 year after December 27, 2020, and not later than June 1 of each year thereafter, a group health plan or health insurance issuer offering group or individual health insurance coverage (except for a church plan) shall submit to the Secretary, the Secretary of Labor, and the Secretary of the Treasury the following information with respect to the health plan or coverage in the previous plan year:

(1)

The beginning and end dates of the plan year.

(2)

The number of enrollees.

(3)

Each State in which the plan or coverage is offered.

(4)

The 50 brand prescription drugs most frequently dispensed by pharmacies for claims paid by the plan or coverage, and the total number of paid claims for each such drug.

(5)

The 50 most costly prescription drugs with respect to the plan or coverage by total annual spending, and the annual amount spent by the plan or coverage for each such drug.

(6)

The 50 prescription drugs with the greatest increase in plan expenditures over the plan year preceding the plan year that is the subject of the report, and, for each such drug, the change in amounts expended by the plan or coverage in each such plan year.

(7)

Total spending on health care services by such group health plan or health insurance coverage, broken down by—

(A)

the type of costs, including—

(i)

hospital costs;

(ii)

health care provider and clinical service costs, for primary care and specialty care separately;

(iii)

costs for prescription drugs; and

(iv)

other medical costs, including wellness services; and

(B)

spending on prescription drugs by—

(i)

the health plan or coverage; and

(ii)

the enrollees.

(8)

The average monthly premium—

(A)

paid by employers on behalf of enrollees, as applicable; and

(B)

paid by enrollees.

(9)

Any impact on premiums by rebates, fees, and any other remuneration paid by drug manufacturers to the plan or coverage or its administrators or service providers, with respect to prescription drugs prescribed to enrollees in the plan or coverage, including—

(A)

the amounts so paid for each therapeutic class of drugs; and

(B)

the amounts so paid for each of the 25 drugs that yielded the highest amount of rebates and other remuneration under the plan or coverage from drug manufacturers during the plan year.

(10)

Any reduction in premiums and out-of-pocket costs associated with rebates, fees, or other remuneration described in paragraph (9).

(b) Report

Not later than 18 months after the date on which the first report is required under subsection (a) and biannually thereafter, the Secretary, acting through the Assistant Secretary of Planning and Evaluation and in coordination with the Inspector General of the Department of Health and Human Services, shall make available on the internet website of the Department of Health and Human Services a report on prescription drug reimbursements under group health plans and group and individual health insurance coverage, prescription drug pricing trends, and the role of prescription drug costs in contributing to premium increases or decreases under such plans or coverage, aggregated in such a way as no drug or plan specific information will be made public.

(c) Privacy protections

No confidential or trade secret information submitted to the Secretary under subsection (a) shall be included in the report under subsection (b).

Source credit: (July 1, 1944, ch. 373, title XXVII, § 2799A–10, as added Pub. L. 116–260, div. BB, title II, § 204(a), Dec. 27, 2020, 134 Stat. 2918.)

history & why it existsrecord from the source credit
  • 1944Enacted · Pub. L. 116-260 · 134 Stat. 2918

A history note hasn’t been published yet. The record shows enactment by Pub. L. 116-260 on 1944-07-01.

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