Being a fiduciary requires a person or organization to disclose commissions and conflicts of interest and act in their clients’ interest. That’s the exact opposite of what PBMs do, so it’s no surprise that their trade association, the Pharmaceutical Care Management Association, is challenging SB 41, a California law requiring them to act as fiduciaries when working with self-insured employer plans.
The plans are regulated under the Employee Retirement Income Security Act, which PCMA says preempts the California law as the latter would “effectively amend the carefully defined fiduciary rules” and “alter PBMs’ clear, contractually defined roles under applicable plan documents.”
Read PCMA’s complaint here.
NCPA
