2021 Maryland Statutes
Insurance
Title 15 - Health Insurance
Subtitle 20 - Pharmacy Services Administrative Organizations
Section 15-2001 - Definitions
(a) In this subtitle the following words have the meanings indicated.
(b) “Independent pharmacy” means a pharmacy operating within the State that is under common ownership with not more than two other pharmacies.
(c) “Pharmacy benefits manager” has the meaning stated in § 15–1601 of this title.
(d) “Pharmacy services administrative contract” means a contractual agreement between a pharmacy services administrative organization and an independent pharmacy under which a pharmacy services administrative organization agrees to negotiate with purchasers or pharmacy benefits managers on behalf of one or more independent pharmacies.
(e) (1) “Pharmacy services administrative organization” means an entity that provides a contracted pharmacy with contracting administrative services relating to prescription drug benefits.
(2) “Pharmacy services administrative organization” does not include a nonprofit health maintenance organization that:
(i) operates as a group model;
(ii) provides services solely to a member or patient of the nonprofit health maintenance organization; and
(iii) furnishes services through the internal pharmacy operations of the nonprofit health maintenance organization.
(f) (1) “Purchaser” means the State Employee and Retiree Health and Welfare Benefits Program, an insurer, a nonprofit health services plan, or a health maintenance organization that provides prescription drug coverage or benefits in the State.
(2) “Purchaser” does not include a person that provides prescription drug coverage or benefits through plans subject to the Employee Retirement Income Security Act of 1974 and does not provide prescription drug coverage or benefits through insurance, unless the person is a multiple employer welfare arrangement as defined in § 514(b)(6)(A)(ii) of the Employee Retirement Income Security Act of 1974.
