Attorney General Jay Jones joined a bipartisan group of 44 attorneys general in submitting a comment letter on Apr. 17 supporting a proposed U.S. Department of Labor rule aimed at increasing transparency among pharmacy benefit managers (PBMs) for employer-funded health plans under the Employee Retirement Income Security Act of 1974.
The coalition supports stronger disclosure requirements for PBMs and seeks assurance that the proposed federal rule will not override existing state laws focused on PBM transparency. This issue is significant because PBMs manage about 80% of prescription drug claims nationwide, giving them considerable influence over drug pricing and patient costs, according to the information provided in the announcement.
The proposed rule would require PBMs to disclose twice annually how they generate revenue and allow employers to audit their practices. The attorneys general are also asking the Department of Labor to clarify that states retain their ability to enforce their own transparency laws regarding PBMs. “We’re living in a time when Virginians especially are pinching every single penny to afford basic necessities like medications, food, and fuel. They deserve to have transparency from pharmacy benefit managers, and they deserve to pay reasonable prices for their life-saving medications,” Attorney General Jones said. “It is beyond time to reform and improve this system and keep costs low for local pharmacies so that higher prices are not passed on to consumers.”
PBMs were originally created in the late 1960s just to process prescription claims but now play an expanded role by negotiating rebates with manufacturers, determining which drugs are covered by insurance plans, and setting costs for consumers. The comment letter also asks the Department of Labor to confirm its willingness to work with state attorneys general when enforcing these new rules or investigating violations.
Jones’s office provides civil rights enforcement and victim assistance programs according to its official website. It also offers legal counsel and representation for state agencies while promoting public safety as detailed online. Miyares currently serves as Virginia’s 48th Attorney General according to official records, representing all residents across the Commonwealth as noted by his office.
The office addresses issues such as human trafficking and domestic violence through legal advocacy according to available resources while providing consumer protection services including identity theft prevention tools as outlined online.
Looking ahead, supporters say greater oversight could help ensure more transparent pricing practices within one of healthcare’s most complex sectors.
