Requires pharmacy benefits manager compensation to be based on bona fide service fee.

This New Jersey bill requires pharmacy benefits managers to be paid only a flat, itemized service fee rather than commissions tied to drug prices or sales volume. The law directly affects insurance carriers, pharmacy benefits managers, and the state's Department of Banking and Insurance by mandating that compensation reflect the fair market value of actual services provided. Under the new rules, managers cannot receive fees based on drug costs, rebates, or the number of prescriptions filled, and carriers must submit detailed documentation to verify these payments. The legislation aims to ensure that administrative fees are transparent and not passed on to patients through inflated drug pricing.