On March 4, 2020, Kentucky HB 72, a bill that would limit the use of copay accumulator programs by health plans, was discussed during a House Banking and Insurance Committee hearing. Copay accumulator programs are policies that health plans use to prevent cost-sharing amounts paid on behalf of plan enrollees from counting towards their maximum out-of-pocket limits. These policies can be harmful to enrollees who rely on financial assistance from third parties, such as pharmaceutical manufacturers and charitable patient assistance programs, because they may be unable to afford their medications once their financial assistance becomes exhausted. Once this occurs, patients’ inability to afford their medications could result in medication adherence issues, additional health care utilization, and negative health outcomes.
HB 72 would require health plans to include cost-sharing amounts paid by or on behalf of plan enrollees in the calculation of their maximum out-of-pocket limits, except when they fill a prescription for a brand drug with a generic equivalent. Aimed Alliance supports this policy because it is reasonably crafted to steer patients towards selecting less expensive medications when they are available. Prior to the Banking and Insurance Committee hearing, Aimed Alliance distributed a letter of support to the members of the committee, requesting that they vote in favor of the legislation. Subsequently, the Banking and Insurance Committee passed the bill during the March 4, 2020 hearing.
Read our letter of support to learn more about this issue.