I am writing today to express my support for HB 1782, which would reduce costs for Virginians with chronic conditions by requiring the pass through of at least 80% of negotiated rebates to covered participants in their health plan.

Insurers and Pharmacy Benefit Managers (PBMs) broker substantial price reductions from drug manufacturers in exchange for preferred formulary placement. Patients with chronic conditions, who may rely on multiple medications just to stay alive, already pay a premium for insurance coverage and should benefit from the lowest price that the insurers and PBMs have access to - it's common sense.

HB 1782 would ensure coverage parity for prescription drugs and other covered health care products and services, basing patient cost sharing on negotiated plan rates rather than inflated list prices. Fixing this broken system will keep our neighbors healthy while helping our most vulnerable save hundreds, if not thousands of dollars each year on their prescription costs.

Should this legislation fail to pass, PBMs and health plans will continue to pocket rebates, which average almost 50%, leaving insured Virginians paying nearly double what their insurer is paying for the same drug. This is wrong.

HB 1782 makes lifesaving and life-sustaining medications more affordable – reducing overall health costs by improving patient adherence and a better quality of life for our fellow Virginians. I urge you to support this bill and vote ‘aye’ upon its consideration in committee.