Representative Deeter Announces Passage of Bill to Establish Licensing Requirements for Pharmacy Benefit Managers

COLUMBUS-The Ohio House of Representatives today passed legislation to establish licensing requirements and improve transparency for pharmacy benefit managers, or PBMs, announced State Representative Kellie Deeter (R-Norwalk).

House Bill 229, spearheaded by Deeter, will place PBMs in a new, dedicated chapter of Ohio's Insurance Code, ensuring regulatory oversight and standardizing definitions and reporting requirements. Under the bill, the Department of Insurance will be required to administer the licensing process for PBMs who want to operate in Ohio.

"House Bill 229 strengthens oversight and transparency for PBMs in Ohio which will stabilize reimbursement trends for pharmacies downstream," said Deeter.

PBMs manage prescription drug benefits on behalf of insurers and employers and process claims related to pharmacy benefits.

House Bill 229 now awaits consideration from the Ohio Senate.