Originally appeared on the official website for CBS television affiliate KTHV in Little Rock, Arkansas
LITTLE ROCK, Ark. — Governor Sarah Huckabee Sanders joined Arkansas Insurance Department Commissioner Alan McClain to announce notices of penalties and hearings against four major pharmacy benefit managers (PBMs), Caremark, Magellan, Express Scripts, and MedImpact.
This decision follows a bulletin issued by the Insurance Department on June 28, advising PBMs to stop paying Arkansas pharmacies below the national average drug acquisition cost (NADAC), in violation of state law.
The department is seeking a $5,000 fine for each payment made below NADAC pricing.
“PBMs have been allowed to skirt the law for too long, today my administration is taking an important step to holding Big Pharma accountable,” said Governor Sanders. “We must make sure that our most vulnerable populations are protected and that starts with enforcing the law. This action today by the Insurance Department and Commissioner McClain sends a message that Arkansas will protect seniors and rural pharmacies from PBMs taking advantage of them.”
PBM Caremark has allegedly committed 217 violations, Magellan, 50 alleged violations, and Express Scripts, 19 alleged violations. This is the largest pharmaceutical enforcement action in Arkansas history, totaling $1.47 million in possible penalties.
“The Department is committed to tackling PBM abuses. It’s time for them to make fair and reasonable payments to our pharmacies, as required by the law, and we will enforce all elements of payment and PBM licensure statutes that violate state law, no matter the amount,” said Arkansas Insurance Commissioner, Alan McClain."
I pray for similar enforcement against the ACCA, BCA, et al parasites in Alabama destroying our quality of life...