Kansas PBM Reform Legislation Signed by Commissioner Schmidt
Summary
Kansas Insurance Commissioner Vicki Schmidt signed the Kansas Consumer Prescription Protection and Accountability Act into law on April 9, 2026. The legislation targets pharmacy benefit managers (PBMs) by requiring them to pass all drug rebates to health plans and banning spread pricing. It also mandates equal reimbursement for all pharmacies and grants the Department of Insurance enforcement authority. The law takes effect July 1, 2026.
What changed
The Kansas Consumer Prescription Protection and Accountability Act introduces binding requirements for pharmacy benefit managers (PBMs) operating in Kansas. PBMs must pass all drug manufacturer rebates to health plans and are prohibited from spread pricing—charging health plans more than they reimburse pharmacies. The law also requires equal reimbursement for all pharmacies and grants the Kansas Insurance Department tools for transparency and accountability.
PBMs, health plans, and pharmacies must prepare for compliance by July 1, 2026. Regulated entities should review and renegotiate contracts to align with the new requirements, particularly regarding rebate pass-through and reimbursement structures. The legislation aims to reduce prescription drug costs for Kansans and protect independent pharmacies from discriminatory practices.
What to do next
- Review PBM contracts for compliance with new rebate pass-through requirements
- Update pharmacy reimbursement policies to ensure equal treatment
- Prepare for Kansas Department of Insurance oversight and reporting
Archived snapshot
Apr 10, 2026GovPing captured this document from the original source. If the source has since changed or been removed, this is the text as it existed at that time.
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Insurance Commissioner Vicki Schmidt announces PBM reform legislation signed into law
Post Date: 04/09/2026
Insurance Commissioner Vicki Schmidt announces PBM reform legislation signed into law
Topeka, Kan. – Kansas Insurance Commissioner Vicki Schmidt, today, announced that the Kansas Consumer Prescription Protection and Accountability Act has been signed into law. The legislation, written by Schmidt’s office, will help rein in pharmacy benefit managers (PBMs), which are the middlemen between drug and insurance companies who have been driving up prescription costs for decades.
“As a local pharmacist for over 40 years, I have seen firsthand PBM practices hurt local pharmacists and as Insurance Commissioner, I can attest to the complaints Kansans have about PBMs.”
The Kansas Consumer Prescription Protection and Accountability Act requires PBMs to pass all drug rebates to health plans and bans a practice called “spread pricing” where a PBM charges a health plan more than it reimbursed a pharmacy. The bill also aims to protect patient choices and local pharmacies by requiring all pharmacies to be reimbursed the same. Finally, it gives the Department of Insurance tools to ensure transparency and accountability.
“I am proud to have stood with Kansans, local businesses and rural communities to make health care in Kansas more transparent, more accessible and less expensive for all Kansans.”
The Department is actively working to prepare for implementation on July 1, 2026. A copy of the enrolled bill can be found here:
https://www.kslegislature.gov/li/b202526/measures/documents/sb20enrolled.pdf.
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