HB 101: State employees; annual public report on the amount of prescription drug rebates and other price concessions applied to premium reductions; provide

Georgia's state employees' health insurance plan, along with health plans for public school teachers, public school employees, and University System of Georgia employees, often benefit from rebates and discounts that drug manufacturers and other companies give to lower prescription drug costs. Right now there is no requirement to publicly report how much of that savings actually goes toward reducing premiums for plan participants. This bill adds a new section to Georgia law (O.C.G.A. § 45-18-6.2) defining terms like 'contracted entity' and 'prescription drug rebates and other price concessions,' and requires the state health plan board to prepare an annual report, starting July 1, 2026, showing in dollars and by percentage how much of these rebates and discounts were applied to premium reductions. The report must be published and kept on the department's public website.

• Adds a new Code section requiring the board overseeing state health plans to publish an annual report on prescription drug rebates and price concessions applied to premium reductions.
• Defines 'contracted entity' to include insurance corporations, health maintenance organizations, pharmacy benefit managers, and other groups contracting with the board.
• Defines 'prescription drug rebates and other price concessions' broadly, covering discounts, charge-backs, coupons, free goods, and similar cost reductions, while excluding fully passed-through remuneration and certain bona fide service fees.
• Applies the reporting requirement to four separate state health plans: state employees, public school teachers, public school employees, and University System of Georgia members.
• Sets the first report date as July 1, 2026, with annual reports required afterward, published on the department's public website.

State employees, public school teachers, public school employees, and University System of Georgia employees and retirees who participate in state health plans, as well as the state agency board that administers these plans and any insurance companies, pharmacy benefit managers, or other contracted entities that work with them.

Plan participants would gain public visibility into whether drug rebates and discounts negotiated by the state are actually lowering their premiums, rather than being kept by insurers or middlemen. This could reveal how much of those savings currently reach enrollees versus being absorbed elsewhere in the health plan system.

• Section 1 adds new Code Section 45-18-6.2 to Title 45, defining 'contracted entity,' 'prescription drug rebates and other price concessions,' and 'state health plan.'
• The definition of price concessions excludes remuneration fully passed on to participants and excludes certain bona fide service fees paid to contracted entities for actual services performed.
• Subsection (b) requires the board to prepare an annual report starting July 1, 2026, measuring rebates and price concessions applied to premium reductions in both dollar amounts and percentages.
• The report must be published and maintained on the department's public website, making the data publicly accessible on an ongoing basis.
• Section 2 repeals any conflicting laws, a standard closing provision.

1. 2025-04-04House Withdrawn, Recommitted (Cámara de Representantes)
2. 2025-03-06House Committee Favorably Reported (Cámara de Representantes)
3. 2025-01-28House Second Readers (Cámara de Representantes)
4. 2025-01-27House First Readers (Cámara de Representantes)
5. 2025-01-17House Hopper (Cámara de Representantes)

• Demetrius Douglas (D, HD-078)Patrocinador principal
• Lee Hawkins (R, HD-027)
• Stacey Evans (D, HD-057)
• Trey Kelley (R, HD-016)
• Brian Prince (D, HD-132)
• Karen Bennett (D, HD-094)

• prescription drug costs
• state employee health insurance
• public school employee benefits
• health insurance transparency
• government accountability