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Assembly Bill A9184

2025-2026 Legislative Session

Provides limitations on overlapping control between insurance companies and pharmacy benefits managers and pharmacies

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Current Bill Status - In Assembly Committee

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2025-A9184 (ACTIVE) - Details

Current Committee:
Assembly Insurance
Law Section:
General Obligations Law
Laws Affected:
Add §5-338, Gen Ob L

2025-A9184 (ACTIVE) - Summary

Provides limitations on overlapping control between insurance companies and pharmacy benefits managers and pharmacies; requires divestment of the interest in one or more insurance companies and pharmacy benefits managers.

2025-A9184 (ACTIVE) - Bill Text download pdf 

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9184
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             October 17, 2025
                                ___________
 
 Introduced by M. of A. JACOBSON -- read once and referred to the Commit-
   tee on Insurance
 
 AN  ACT  to  amend the general obligations law, in relation to providing
   limitations on overlapping control  between  insurance  companies  and
   pharmacy benefits managers and pharmacies

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The general obligations law is  amended  by  adding  a  new
 section 5-338 to read as follows:
   § 5-338. CONFLICTING PHARMACY OWNERSHIP.  1. AS USED IN THIS SECTION:
   (A)  "PHARMACY"  HAS  THE  MEANING  SET  FORTH IN SECTION THIRTY-THREE
 HUNDRED TWO OF THE PUBLIC HEALTH LAW.
   (B) "PHARMACY BENEFIT MANAGER" MEANS A THIRD-PARTY ADMINISTRATOR  THAT
 MANAGES  PRESCRIPTION  DRUG PROGRAMS FOR HEALTH PLANS, NEGOTIATING COSTS
 AND ENSURING ACCESS TO MEDICATIONS.
   (C) "INDIRECT CONTROL" MEANS  ANY  AGREEMENT,  ARRANGEMENT,  CONTRACT,
 OWNERSHIP  STAKE,  OR OTHER RELATIONSHIP THAT GIVES AN OWNER OR OPERATOR
 OF A PHARMACY THE ABILITY TO INFLUENCE OR DIRECT THE OPERATIONS  OF  ANY
 INSURANCE COMPANY OR PHARMACY BENEFITS MANAGER IN THE STATE.
   2.  IT SHALL BE UNLAWFUL FOR ANY PERSON OR ENTITY TO DIRECTLY OR INDI-
 RECTLY OWN, OPERATE, CONTROL, OR DIRECT THE OPERATION OF  THE  WHOLE  OR
 ANY  PART  OF  AN  INSURANCE  COMPANY  AND/OR A PHARMACY BENEFIT MANAGER
 AND/OR A PHARMACY OR ANY COMBINATION THEREOF.
   3. NOT LATER THAN  THREE  YEARS  AFTER  THE  EFFECTIVE  DATE  OF  THIS
 SECTION,  ANY  PERSON  OR ENTITY IN VIOLATION OF SUBDIVISION TWO OF THIS
 SECTION SHALL DIVEST FROM SUCH PHARMACY, INSURANCE COMPANY, AND/OR PHAR-
 MACY BENEFIT MANAGER.
   4. THE ATTORNEY GENERAL MAY BRING A CIVIL ACTION AGAINST ANY PERSON OR
 ENTITY THAT VIOLATES THIS SECTION AND MAY RECOVER THE FOLLOWING:
   (A) A CIVIL PENALTY OF TEN THOUSAND DOLLARS PER DAY FOR A VIOLATION OF
 THIS SECTION; AND
   (B) COSTS AND REASONABLE ATTORNEYS' FEES.
   § 2. This act shall take effect immediately.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

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