Kentucky Legislature (healthcare bills) · January 27, 2026 · Primary source
KY SB 128: AN ACT relating to prescription drugs.
Summary
Kentucky Senate Bill 128 would amend KRS Chapter 304 and related statutes to establish new prescription drug cost-sharing requirements, mandate that PBM rebates be passed through to health plans or consumers, and set confidentiality rules for rebate information while designating actual rebate amounts as trade secrets under the Uniform Trade Secrets Act. The bill extends these requirements to limited health service benefit plans, self-insured employer group health plans at state postsecondary institutions, the state employee health plan, and limited health service organizations. Provisions apply to health plans issued or renewed on or after January 1, 2027, and the bill has been referred to the Senate Committee on Committees.
What this may mean
If enacted, the bill would require health insurers, PBMs, and self-insured state plans in Kentucky to restructure rebate pass-through practices and cost-sharing calculations for covered prescription drugs beginning January 1, 2027. PBMs would face new disclosure and confidentiality obligations regarding rebate amounts, and non-compliance with the cost-sharing and rebate provisions would not constitute a trade-secret violation. The bill has not yet cleared committee, so its enactment is not assured.
Informational only. Not legal, medical, financial, or other professional advice. Always consult a qualified professional familiar with your specific facts before relying on any item.
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