LINCOLN, Neb. (KMTV) — The state of Nebraska and 33 other states joined Oklahoma in a legal battle to regulate pharmacy benefit managers (PBMs), who serve as the ‘middleman’ in the pharmaceutical industry.
This comes as the lobbying group for PBM’s, the Pharmaceutical Care Management Association, is suing Oklahoma for attempting to regulate them. Multiple lawsuits are ongoing in an attempt to walk back Oklahoma’s regulations.
Tuesday, Nebraska Attorney General Doug Peterson defended states' rights to regulate PBM’s, pointing to the amicus brief, “protecting their residents’ access to healthcare, and curbing abusive business practices. To advance these interests, nearly all states regulate pharmacy benefit managers.”
Peterson, in a press release, said some PBM’s have forced consumers to use pharmacies affiliated directly with PBM’s; not allowing consumers to go to a neighborhood pharmacy, in some cases.
"Rural and independent pharmacies have especially struggled to survive when PBMs impose financially unsustainable conditions. The PBM industry, however, reaps hundreds of billions of dollars annually,” said the release from Peterson's office.
While PBM’s have been unregulated in Nebraska for a long time, 3 News Now has told you about recent state efforts to regulate that industry.
Just this past year, the Nebraska Legislature took the first steps, passing a bill that established licensing and regulations standards for PBM’s.
PBM's serve as intermediaries between drug companies, pharmacies and prescription-drug plans.
SEE MORE: Pharmacies in rural areas struggle to remain open as costs rise
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