SENATE BUDGET AND APPROPRIATIONS COMMITTEE

STATEMENT TO

[First Reprint]

SENATE, No. 526

with committee amendments

STATE OF NEW JERSEY

DATED:  NOVEMBER 9, 2020

      The Senate Budget and Appropriations Committee reports favorably Senate Bill No. 526 (1R), with committee amendments.

      As amended, this bill makes certain findings and declarations concerning the rising cost of insulin and requires health benefits plans issued pursuant to the New Jersey Individual Health Coverage and Small Employer Health Benefits Programs, the State Health Benefits Program, and the School Employees’ Health Benefits Program, to provide coverage for insulin for the treatment of diabetes.  The bill further requires health insurers (health, hospital and medical service corporations, commercial individual and group health insurers, and health maintenance organizations) and health benefits plans issued pursuant to the New Jersey Individual Health Coverage and Small Employer Health Benefits Programs, the State Health Benefits Program, and the School Employees’ Health Benefits Program to provide coverage for the purchase of insulin that is not subject to any deductible and to limit the copayment or coinsurance that may be required for an insulin prescription to $50 per 30 day supply of insulin.

COMMITTEE AMENDMENTS:

      The committee amended the bill to remove the provisions of the bill concerning reporting requirements for insulin manufacturers.

FISCAL IMPACT:

      The Office of Legislative Services anticipates that this bill will increase by an indeterminate amount annual State and local government expenditures for employee health benefits.