BILL ANALYSIS Ó
AB 2050
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Date of Hearing: May 4, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
AB
2050 (Steinorth) - As Amended March 18, 2016
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|Policy |Health |Vote:|18 - 0 |
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Urgency: No State Mandated Local Program: YesReimbursable:
No
SUMMARY:
This bill requires health plans and insurers to implement a
procedure for aligning the refill dates of an enrollee's
prescription drugs so that prescriptions that are refilled at
the same frequency may be refilled concurrently.
FISCAL EFFECT:
1)According to the California Health Benefits Review Program
(CHBRP), minimal impact to premiums in state-funded programs
AB 2050
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and the privately funded market. CHBRP analyzed a similar
mandate as included in AB 2418 (Bonilla) of 2014.
2)Costs to monitor compliance are expected to be minor and
absorbable for the Department of Managed Health Care (Managed
Care Fund), and $35,000 over the first two years and $5,000
ongoing to the California Department of Insurance (Insurance
Fund).
COMMENTS:
1)Purpose. This bill is intended to encourage medication
adherence and increase convenience to patients who may have
multiple medications with different refill dates.
2)Background. Adherence to a medication regimen is generally
defined as the extent to which patients take medications as
prescribed by their health care providers. Prescription drugs
are important for controlling chronic conditions, but many
patients do not take medications as prescribed. There is
some, albeit minor, evidence that medication synchronization
can improve adherence to medication regimens. Beginning in
2014, Medicare Part D (prescription durg) plans were required
to cover "short refills" in order to make it easier to have
prescription medications synchronized, or refilled all at the
same time.
3)Support. This bill is sponsored by the California Pharmacists
Association and has no opposition. The National Association
of Chain Drugs Stores seek an amendment to clarify pharmacies
will still receive a dispensing fee when short filled
medications are used.
AB 2050
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4)Prior Legislation. AB 2418 (Bonilla) of 2014 required health
plan contracts and health insurance policies to allow for the
synchronization of prescription refills and permit refill of
topical ophthalmic medications at 70% of the predicted days of
use. It also required plans and insurers to apply a prorated
daily cost-sharing rate to the refills of prescriptions that
are dispensed by a participating pharmacy for purposes of
synchronization. AB 2418 was vetoed by Governor Brown, who
stated the bill lacked explicit patient consent before changes
are made to refills and it did not address supportive elements
that have made synchronization programs anecdotally
successful. AB 2050 does not appear to address the veto
message, but does offer more flexibility to plans to design
synchronization procedures than AB 2418.
Analysis Prepared by:Lisa Murawski / APPR. / (916)
319-2081