Montana report identifies spread

NCPA January 16, 2024

Troy Downing, Montana state auditor and commissioner of securities and insurance, issued the state’s annual “Pharmacy Benefit Manager Aggregated Rebate and Fee Transparency Report” as required by state law. Reviewing 2022 data, the report identified 3.1 percent of Montana’s drug spend as spread pricing. While spread pricing is not against state law at this time, the spread amounted to nearly $9 million that was potentially uncompensated to pharmacies. While we always appreciate transparency and reporting, NCPA advocates for states to prohibit spread pricing and to empower Offices of the Insurance Commissioner with a wide range of tools to enforce state law.