NJ S377

Health insurance carriers would be prohibited from obtaining new licenses to operate as pharmacy benefits managers (PBMs) in New Jersey

Carriers that already hold PBM licenses issued before the bill's effective date would be barred from renewing those licenses

The bill amends P.L.2023, c.107, which established the PBM licensing framework requiring entities to obtain a license from the state department before acting as a pharmacy benefits manager

PBM licenses are valid for three-year periods and require applicants to demonstrate proper organization, expertise, and financial integrity to supply pharmacy benefits management services

The prohibition would take effect immediately upon enactment, creating a separation between health insurance carriers and pharmacy benefits management functions