NJ S3212

Requires pharmacy benefits manager (PBM) compensation to be remitted directly to covered persons to reduce out-of-pocket drug costs at point of sale, or applied by carriers to offset premiums.

Prohibits spread pricing in contracts between PBMs and State Health Benefits Program, School Employees' Health Benefits Program, and NJ FamilyCare, requiring pass-through pricing models limited to ingredient cost plus dispensing fee.

Mandates pharmacy reimbursement rates at least equal to National Average Drug Acquisition Cost (NADAC) plus a reasonable dispensing fee adjusted annually for inflation.

Prohibits PBMs from requiring or incentivizing covered persons to use pharmacies in which the PBM has ownership interest, and requires network pharmacies within 5 miles for urban residents or 10 miles for rural residents.

Establishes a Pharmacy Benefits Manager Compliance and Enforcement Unit within the Department of Banking and Insurance to conduct examinations, investigate violations, and issue penalties or license suspensions.