Florida Senate - 2019 COMMITTEE AMENDMENT Bill No. SB 1180 Ì675178OÎ675178 LEGISLATIVE ACTION Senate . House Comm: WD . 03/18/2019 . . . . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— The Committee on Banking and Insurance (Gruters) recommended the following: 1 Senate Amendment (with title amendment) 2 3 Delete everything after the enacting clause 4 and insert: 5 Section 1. Section 627.42393, Florida Statutes, is created 6 to read: 7 627.42393 Individual health insurance policies; limiting 8 changes to prescription drug formularies.— 9 (1) Other than at the time of coverage renewal, an 10 individual insurance policy that is delivered, issued for 11 delivery, renewed, amended, or continued in this state and that 12 provides medical, major medical, or similar comprehensive 13 coverage may not, while the insured is taking a prescription 14 drug: 15 (a) Remove the prescription drug from its list of covered 16 drugs during the policy year unless the United States Food and 17 Drug Administration has issued a statement about the drug which 18 calls into question the clinical safety of the drug or the 19 manufacturer of the drug has notified the United States Food and 20 Drug Administration of a manufacturing discontinuance or 21 potential discontinuance of the drug as required by s. 506C of 22 the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. s. 356c. 23 (b) Reclassify the drug to a more restrictive drug tier or 24 increase the amount that an insured must pay for a copayment, 25 coinsurance, or deductible for prescription drug benefits or 26 reclassify the drug to a higher cost-sharing tier during the 27 policy year. 28 (2) This section does not: 29 (a) Prohibit the addition of prescription drugs to the list 30 of drugs covered under the policy during the policy year. 31 (b) Apply to a grandfathered health plan as defined in s. 32 627.402, to benefits set forth in s. 627.6513(1)-(14), or to any 33 individual policy issued or delivered between March 23, 2010, 34 and December 31, 2013, inclusive. 35 (c) Alter or amend s. 465.025, which provides conditions 36 under which a pharmacist may substitute a generically equivalent 37 drug product for a brand name drug product. 38 (d) Alter or amend s. 465.0252, which provides conditions 39 under which a pharmacist may dispense a substitute biological 40 product for the prescribed biological product. 41 (e) Apply to a Medicaid managed care plan under part IV of 42 chapter 409. 43 (f) Apply if the drug manufacturer increases the list price 44 of the prescription drug on the health insurer’s formulary to 45 the health insurer or the pharmacy benefit manager after 46 November 1 of the year before the health insurer’s earliest 47 required rate submission date to applicable state and federal 48 rate review authorities for the succeeding calendar or policy 49 year. Any changes in the health insurer’s formulary must be 50 documented for internal purposes. 51 Section 2. Subsection (36) of section 641.31, Florida 52 Statutes, is amended to read: 53 641.31 Health maintenance contracts.— 54 (36) A health maintenance organization may increase the 55 copayment for any benefit, or delete, amend, or limit any of the 56 benefits to which a subscriber is entitled under the group 57 contract only, upon written notice to the contract holder at 58 least 45 days in advance of the time of coverage renewal. The 59 health maintenance organization may amend the contract with the 60 contract holder, with such amendment to be effective immediately 61 at the time of coverage renewal. The written notice to the 62 contract holder mustshallspecifically identify any deletions, 63 amendments, or limitations to any of the benefits provided in 64 the group contract during the current contract period which will 65 be included in the group contract upon renewal. This subsection 66 does not apply to any increases in benefits. The 45-day notice 67 requirement doesshallnot apply if benefits are amended, 68 deleted, or limited at the request of the contract holder. 69 (a) With respect to individual health maintenance contracts 70 only, other than at the time of coverage renewal, a health 71 maintenance contract that provides medical, major medical, or 72 similar comprehensive coverage may not, while the subscriber is 73 taking a prescription drug: 74 1. Remove the prescription drug from its list of covered 75 drugs during the contract year unless the United States Food and 76 Drug Administration has issued a statement about the drug which 77 calls into question the clinical safety of the drug or the 78 manufacturer of the drug has notified the United States Food and 79 Drug Administration of a manufacturing discontinuance or 80 potential discontinuance of the drug as required by s. 506C of 81 the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. s. 356c. 82 2. Reclassify the drug to a more restrictive drug tier or 83 increase the amount that an insured must pay for a copayment, 84 coinsurance, or deductible for prescription drug benefits or 85 reclassify the drug to a higher cost-sharing tier during the 86 contract year. 87 (b) This subsection does not: 88 1. Prohibit the addition of prescription drugs to the list 89 of drugs covered during the contract year. 90 2. Apply to a grandfathered health plan as defined in s. 91 627.402 or to benefits set forth in s. 627.6513(1)-(14). 92 3. Alter or amend s. 465.025, which provides conditions 93 under which a pharmacist may substitute a generically equivalent 94 drug product for a brand name drug product. 95 4. Alter or amend s. 465.0252, which provides conditions 96 under which a pharmacist may dispense a substitute biological 97 product for the prescribed biological product. 98 5. Apply to a Medicaid managed care plan under part IV of 99 chapter 409. 100 6. Apply if the drug manufacturer increases the list price 101 of the prescription drug on the health maintenance 102 organization’s formulary to the health maintenance organization 103 or the pharmacy benefit manager after November 1 of the year 104 before the health maintenance organization’s earliest required 105 rate submission date to applicable state and federal rate review 106 authorities for the succeeding calendar or policy year. Any 107 changes in the health maintenance organization’s formulary must 108 be documented for internal purposes. 109 7. Apply to group health maintenance organization 110 contracts. 111 Section 3. This act shall take effect January 1, 2020. 112 113 ================= T I T L E A M E N D M E N T ================ 114 And the title is amended as follows: 115 Delete everything before the enacting clause 116 and insert: 117 A bill to be entitled 118 An act relating to consumer protection from nonmedical 119 changes to prescription drug formularies; creating s. 120 627.42393, F.S.; prohibiting specified changes to 121 certain individual health insurance policy 122 prescription drug formularies, except under certain 123 circumstances; providing construction and 124 applicability; providing that such prohibition does 125 not apply for certain prescription drug price 126 increases; requiring that formulary changes be 127 documented for internal purposes; amending s. 641.31, 128 F.S.; prohibiting certain health maintenance 129 organizations from making specified changes to 130 individual health maintenance contract prescription 131 drug formularies, except under certain circumstances; 132 providing construction and applicability; providing 133 that such prohibition does not apply for certain 134 prescription drug price increases; requiring that 135 formulary changes be documented for internal purposes; 136 providing an effective date.