BILL ANALYSIS �
AB 2418
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 2418 (Bonilla and Skinner)
As Amended August 19, 2014
Majority vote
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|ASSEMBLY: |75-1 |(May 29, 2014) |SENATE: |31-1 |(August 21, |
| | | | | |2014) |
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Original Committee Reference: HEALTH
SUMMARY : Requires 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, effective January 1, 2016.
The Senate amendments remove a provision of this bill that would
have required health plans and insurers to allow enrollees to
opt out of mandatory mail order prescriptions programs.
AS PASSED BY THE ASSEMBLY , this bill was largely the same, but
also included a provision that required health plans and
insurers to allow enrollees to opt out of mandatory mail order
prescription program.
FISCAL EFFECT : According to the Senate Appropriations
Committee, one-time costs of $80,000 and ongoing costs of
$70,000 per year for review of insurance plan filings and
enforcement by the California Department of Insurance. One-time
costs of $275,000 and ongoing costs of $40,000 for development
of regulations and enforcement by the Department of Managed
Health Care. Increased health care costs to the California
Public Employees' Retirement System of about $6,000 per year due
to increased prescription drug benefit costs (various funds).
Increased health care costs to the Medi-Cal program, due to
increased prescription drug costs to Medi-Cal managed care plans
of about $155,000 per year (General Fund and federal funds).
COMMENTS : According to the author, this bill is aimed at
improving patient medication adherence and health outcomes
through streamlining the medication refill process.
California Pharmacists Association and California Healthcare
Institute, co-sponsors of this bill, argue that pharmacists play
AB 2418
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a key role in helping improve medication adherence and contend
that hundreds of clinical studies show improvement in medication
adherence and benefits to patient health outcomes when
pharmacists work with other members of the care team on
medication therapy.
Health plans, insurers, and pharmacy benefit managers oppose
this bill concerned about the costs and administrative
complexity of the proposed changes. Health plans and insurers
view this bill as micromanaging the prescription refill process.
Analysis Prepared by : Dharia McGrew / HEALTH / (916) 319-2097
FN: 0004900