The failure by a health care service plan to comply with the contractual requirements and to maintain appropriate oversight of a contracted pharmacy benefit manager to ensure the pharmacy benefit manager’s compliance pursuant to this article shall constitute grounds for disciplinary action. The director shall, as appropriate, investigate and take enforcement action against a health care service plan that fails to comply with these requirements and shall periodically evaluate contracts between health care service plans and pharmacy benefit managers to determine if any audit, evaluation, or enforcement actions should be undertaken by the department.
Cal. Health & Safety Code § 1385.006
Pharmacy Benefit Managers
Known as the Knox-Keene Health Care Service Plan Act
The act spans §§ 1340–1399 (617 sections).
Amended by Stats. 2025, Ch. 21, Sec. 15
Official source: California Legislative Information. Reproduced from public-domain California statutes; confirm against the official source for the current text. Not legal advice.