Insurance Commissioner Vicki Schmidt calls for PBM reform

Insurance Commissioner Vicki Schmidt calls for PBM reform

Topeka, Kan. - Kansas Insurance Commissioner Vicki Schmidt, today, testified in support of SB 360, the Kansas Consumer Prescription Protection and Accountability Act. The bill establishes a new regulatory framework for pharmacy benefit managers (PBM) that ensures PBM practices are focused on returning savings to Kansans.

"PBMs play a powerful role in determining what patients pay for prescription drugs, yet in Kansas their practices are near unregulated and cost taxpayers and health plans more," said Commissioner Vicki Schmidt. "This bill would go a long way in addressing many of the factors that drive up prescription costs for Kansans."

SB 360 requires drug rebates to be passed through to patients and their health plans and bans a practice called "spread pricing" where a PBM bills a health plan more for a prescription than they reimburse a pharmacy and keep the difference as profit. The bill also aims to protect patient choices by requiring pharmacies to be reimbursed the same and gives the Department of Insurance the tools to ensure transparency and accountability.

Schmidt joined 63 proponents to testify in favor of SB 360. The full text of the bill can be found here: https://kslegislature.gov/li/b2025_26/measures/documents/sb360_00_0000.pdf.

Before becoming Insurance Commissioner in 2019, Vicki Schmidt served over 40 years as a local pharmacist.