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The PBM FAIR Act amends the Employee Retirement Income Security Act (ERISA) to classify pharmacy benefit managers (PBMs) as fiduciaries when they manage prescription drug networks, negotiate rebates, process claims, or conduct utilization review for group health plans. The bill requires PBMs and third-party administrators to disclose all direct and indirect compensation they receive, prohibits PBMs from serving as the responsible plan fiduciary for disclosure purposes (with a narrow exception for PBMs sponsoring their own employee plans), and voids any contract provisions that would indemnify PBMs from liability for breaching their fiduciary duties.
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