MI SB0889

Creates the Prescription Drug Affordability Board as a 5-member autonomous entity within the Department of Insurance and Financial Services to review and regulate prescription drug prices in Michigan.

Establishes criteria for identifying high-cost or rapidly increasing prescription drugs, including brand name drugs costing $30,000+ annually, biosimilars not at least 15% cheaper than referenced biologics, and generic drugs with 200%+ price increases.

Authorizes the Board to conduct affordability reviews and establish upper payment limits on prescription drugs that create affordability challenges for healthcare systems or patients, effective no sooner than 6 months after establishment.

Creates the Prescription Drug Affordability Stakeholder Council with 21 members representing manufacturers, health insurers, pharmacists, employers, patient advocates, healthcare providers, and researchers to advise the Board on pricing decisions.

Prohibits prescription drug purchasers and third-party payers from reimbursing above established upper payment limits and requires the Attorney General to enforce violations; takes effect 180 days after enactment only if Senate Bill No. 890 also becomes law.