S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5969
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 20, 2019
                                ___________
 
 Introduced by M. of A. CROUCH -- 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 35 to read as follows:
   (35) 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 21 to read as follows:
   (21)  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 (ss) to read as follows:
   (SS)  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.
              

                                                            LBD09672-01-9

 A. 5969                             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.