States seek to lower drug prices by targeting the companies that manage them for health plans
At least 12 states passed laws this year to limit PBM compensation, require more disclosure and set new dispensing fees for pharmacists.
- Lawmakers in at least 26 states introduced more than 120 bills this year to restrict pharmacy benefit managers, the large companies that handle most U.S. prescriptions.
- About 6 in 10 U.S. adults worry about affording prescriptions, while independent pharmacist Lisa Gales lost money on 86% of prescriptions filled last year due to low reimbursements.
- CVS Health Corp. filed a federal lawsuit challenging a Tennessee law barring it from operating 136 retail pharmacies, alleging the measure constitutes "naked protectionism" from state Sen. Bobby Harshbarger.
- New legislation in Kansas and Louisiana mandates minimum dispensing fees per prescription, while other states now require pharmacy benefit managers to pass along all negotiated drug rebates.
- Congress passed new federal regulations in February, yet debate continues over whether state Rep. Robert Stevens and others believe cracking down on PBMs "needs to be done by Congress" instead.
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69 Articles
States seek to lower drug prices by targeting companies that manage them for health plans
Legislators across the U.S. are trying to lower prescription costs by reining in big companies that handle drug coverage for health insurers. Their efforts have prompted one of the nation’s best-known brands to spend millions of dollars to hold off…
States seek to lower drug prices by targeting the companies that manage them for health plans
Legislators across the U.S. are trying to lower prescription costs by reining in big companies that handle drug coverage for health insurers.
While consumers are concerned about the cost of medicines, states are trying to lower prices by controlling large companies that manage prescription coverage for health insurers. Some of these companies, called pharmaceutical benefit managers, also own pharmacies, and one of them, CVS, has spent millions of dollars to combat regulations. Affordability is a key issue for this year’s mid-term legislative elections.
States Target Drug Price Middlemen: PBM Reform in 2026
Pharmacy benefit managers, or PBMs, are powerful companies that sit between drug manufacturers and your insurance plan, negotiating prices and deciding which drugs get covered. In 2026, at least 12 states have passed new laws targeting these middlemen, arguing that their opaque pricing practices drive up what patients pay at the pharmacy counter. The push reflects a growing bipartisan frustration with a system that leaves millions of Americans u…
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