An Act to enact pharmacy benefit manager duties

This bill establishes a new legal chapter in Massachusetts that defines the specific duties and responsibilities of pharmacy benefit managers (PBMs), which are companies that negotiate drug prices and manage insurance claims. The legislation creates a "duty of care" requiring PBMs to act with fairness, transparency, and professionalism to serve the best interests of patients, insurance plans, and healthcare providers. Key provisions include detailed definitions of what services PBMs provide and a specific ban on "spread pricing," a practice where PBMs charge insurance plans more than the actual cost of the drug plus a fee. By amending state laws, the bill directly impacts the operations of PBM companies and ensures they adhere to higher standards when handling prescription drug benefits.