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Committee moves amendments on PBM reform bill after hours of testimony from PBMs, pharmacies and consumer groups

Financial Institutions and Insurance Committee · December 9, 2024
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Assembly Bill 4953 (Patient and Provider Protection Act) amendments were moved following extended testimony from pharmacy benefit manager trade groups, independent pharmacies, payers and consumer advocates. Witnesses sharply disagreed on cost, scope (ERISA/self‑funded plans) and effects on pharmacy networks.

The Financial Institutions and Insurance Committee considered proposed amendments to Assembly Bill 4953 — described in the hearing as the Patient and Provider Protection Act — and voted to move amendments only after extensive testimony from stakeholders on both sides.

Opponents, including the Pharmaceutical Care Management Association (PCMA) and PBM vendors, warned the amendments could raise costs meaningfully, pointed to nationwide analyses of a…

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