Prescription Drug Cost Transparency

Medium

During the 67th Legislative Assembly the North Dakota State Legislature enacted House Bill 1032, creating a prescription drug cost transparency program to be administered by the Insurance Department.  Under this program, prescription drug manufactures, pharmacy benefit managers, and health insurers must meet certain disclosure requirements related to the cost of prescription drugs.

Prescription drug manufactures must, on a quarterly basis, disclose current wholesale acquisition costs information for the prescription drugs sold in or into the state.  Prescription drug manufacturers also have additional disclosure requirements in certain instances when either a wholesale acquisition cost has increased or when a new prescription drug enters the market.

Pharmacy benefit managers must, on an annual basis, disclose aggregate sums of money collected from, and distributed to, certain entities and individuals.

Health insurers must, on an annual basis, disclose certain information related to prescription drugs for which the insurer has received cost reimbursement claims for their members.