Nevada governor signs drug price transparency legislation: 5 things to know

Republican Nevada Gov. Brian Sandoval signed a bill into law that aims to curb increasing prescription drug prices, according to a Business Insider report.

Here are five things to know about the legislation.

1. Nevada Democratic Sen. Yvanna Cancela introduced the bill three months ago. The legislation, SB 265, passed the state Senate and state Assembly in May, despite the fact lobbyists and nonprofit patient groups opposed the bill, according to the report.

2. Mr. Sandoval vetoed SB 265 earlier this month. However, he gave his stamp of approval on the bill Thursday, after it had been attached to separate pharma legislation, SB 539, the report states.

3. The law takes particular aim at drugs used to treat diabetes. Under the law, diabetes drugmakers that have increased drugs' list prices by a certain amount must disclose information about the amount of money it spends on both production and marketing, reports Business Insider. Diabetes drugmakers must also disclose what rebates they offer consumers.

4. The law imposes additional regulations on pharmacy benefit managers. It requires PBMs to disclose what rebates they negotiate with diabetes drugmakers and what rebates the PBMs retain possession of, the report states.

5. Additionally, the bill forces PBMs "to act in insurers' best interests and bans PBMs from forbidding pharmacists from discussing lower-cost options with patients, something called a gag clause," reports Business Insider.

Read the full report, including more about the law, here.

 

 

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