S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5681
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 14, 2017
                                ___________
 
 Introduced  by M. of A. CURRAN, CROUCH, FINCH, RAIA, HARRIS -- read once
   and referred to the Committee on Insurance
 
 AN ACT to amend the insurance  law,  in  relation  to  the  purchase  of
   prescription drugs
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Subsection (i) of section 3216  of  the  insurance  law  is
 amended by adding a new paragraph 34 to read as follows:
   (34)  NO  POLICY  WHICH  PROVIDES  COVERAGE FOR PRESCRIBED DRUGS SHALL
 MANDATE THAT THE SAME BE PURCHASED BY THE  INSURED  FROM  A  MAIL  ORDER
 PHARMACY, NOR MAY SUCH POLICY IMPOSE A CO-PAYMENT FEE OR OTHER CONDITION
 ON ANY INSURED WHO ELECTS TO PURCHASE DRUGS FROM OTHER THAN A MAIL ORDER
 PHARMACY  WHICH  IS  NOT  ALSO  IMPOSED ON INSUREDS ELECTING TO PURCHASE
 DRUGS FROM A DESIGNATED MAIL ORDER PHARMACY.
   § 2. Subsection (1) of section 3221 of the insurance law is amended by
 adding a new paragraph 20 to read as follows:
   (20) NO INSURER DELIVERING A GROUP OR  BLANKET  POLICY  OR  ISSUING  A
 GROUP OR BLANKET POLICY FOR DELIVERY IN THIS STATE WHICH PROVIDES COVER-
 AGE FOR PRESCRIBED DRUGS SHALL MANDATE THAT THE SAME BE PURCHASED BY THE
 INSURED FROM A MAIL ORDER PHARMACY, NOR MAY SUCH POLICY IMPOSE A CO-PAY-
 MENT  FEE OR OTHER CONDITION ON ANY INSURED WHO ELECTS TO PURCHASE DRUGS
 FROM OTHER THAN A MAIL ORDER PHARMACY  WHICH  IS  NOT  ALSO  IMPOSED  ON
 INSUREDS ELECTING TO PURCHASE DRUGS FROM A DESIGNATED MAIL ORDER PHARMA-
 CY.
   §  3.  Section  4303  of the insurance law is amended by adding  a new
 subsection (oo) to read as follows:
   (OO) NO POLICY ISSUED BY A MEDICAL EXPENSE  INDEMNITY  CORPORATION,  A
 HOSPITAL  SERVICE  CORPORATION  OR  A  HEALTH SERVICES CORPORATION WHICH
 PROVIDES COVERAGE FOR PRESCRIBED DRUGS SHALL MANDATE THAT  THE  SAME  BE
 PURCHASED BY THE INSURED FROM A MAIL ORDER PHARMACY, NOR MAY SUCH POLICY
 IMPOSE  A CO-PAYMENT FEE OR OTHER CONDITION ON ANY INSURED WHO ELECTS TO
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD08541-01-7

 A. 5681                             2
 
 PURCHASE DRUGS FROM OTHER THAN A MAIL ORDER PHARMACY WHICH IS  NOT  ALSO
 IMPOSED  ON  INSUREDS  ELECTING TO PURCHASE DRUGS FROM A DESIGNATED MAIL
 ORDER PHARMACY.
   § 4.  This act shall take effect on the first of January next succeed-
 ing  the date on which it shall have become a law and shall apply to all
 policies and contracts issued, renewed, modified, altered or amended  on
 or after such effective date.