Legislature(2015 - 2016)BELTZ 105 (TSBldg)
02/04/2016 01:30 PM Senate LABOR & COMMERCE
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| Audio | Topic |
|---|---|
| Start | |
| SB69 | |
| HB12 | |
| SB125 | |
| SB148 | |
| SB142 | |
| SB104 | |
| SB141 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | SB 104 | TELECONFERENCED | |
| *+ | SB 141 | TELECONFERENCED | |
| *+ | SB 142 | TELECONFERENCED | |
| *+ | SB 158 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | SB 69 | TELECONFERENCED | |
| += | HB 12 | TELECONFERENCED | |
| += | SB 125 | TELECONFERENCED | |
| += | SB 148 | TELECONFERENCED | |
SB 142-INSURANCE FOR ANTI-CANCER MEDICATION
1:54:14 PM
CHAIR COSTELLO announced the consideration of SB 142.
KARI NORE, Staff, Senator Cathy Giessel, Alaska State
Legislature, introduced SB 142 on behalf of the sponsor,
speaking to the following sponsor statement:
SB 142 would ensure that both intravenous and orally
administered cancer treatments are treated fairly and
are equally available to consumers. Patients should
not be prohibited from receiving cancer treatment due
to high insurance costs. Currently intravenous cancer
treatment co-pays are much less expensive than the
oral cancer treatments, and are not always the easiest
option for patients.
This bill also prevents increasing costs for
intravenous or injected chemotherapy that is covered
under the policy or plan or by reclassifying benefits
with respect to anti-cancer medications. This bill
asks for parity, or fairness, to the consumer, as they
choose the treatment option that is right for them.
I urge you to support this bill that will require
equal insurance coverage for anti-cancer medications,
both those administered intravenously and those
administered orally.
1:56:05 PM
JEANNE MUNGLE, Deputy Director, Division of Insurance,
Department of Commerce, Community and Economic Development
(DCCED), stated that SB 142 seeks to reduce out-of-pocket
expenses for consumers utilizing healthcare insurance plans that
provide coverage for anti-cancer medications. Section 1 would
level the playing field in terms of cost. Currently, 40 states
have enacted similar legislation.
She related that the division is working with the sponsor to add
language that would not prohibit cost-sharing rates that could
occur between network and out-of-network providers. The bill
would have zero fiscal impact on the Division of Insurance and
would be a good measure from the standpoint of eliminating
surprise billings for consumers.
1:57:42 PM
SENATOR MEYER asked if there was any opposition to the bill.
MS. MUNGLE answered the division is not aware of any opposition.
MS. NORE added that Premera Blue Cross Blue Shield supports the
bill and she is not aware of any opposition.
CHAIR COSTELLO asked if the administration has a position on the
bill.
MS. MUNGLE offered her belief that the general opinion is that
it is a good bill.
CHAIR COSTELLO asked if the administration is in support of the
bill.
MS. MUNGLE replied "generally I believe we would support that
measure."
CHAIR COSTELLO opened public testimony on SB 142.
1:59:13 PM
ERIC HANSEN, representing himself, Juneau, Alaska, testified in
support of SB 142. He related that four years ago he was
diagnosed with multiple myeloma, as a result of exposure to
Agent Orange. It is incurable but treatable. He said this bill
seems trivial in light of the budget crisis, but it can make a
life-changing difference for many patients.
The pill he takes now costs $10,000 per month, and the 20
percent co-pay is beyond his reach. A less effective drug that
has to be infused has a $30 co-pay. But not only does it not
work as well, it also has more side effects. He discussed the
different options for cancer treatment and described SB 142 as a
way to get everybody on the same page, working for the benefit
of the patient to make treatments equally available and
affordable. This would take one huge problem off the table, he
said.
SENATOR STEVENS asked if he was exposed to Agent Orange when he
was in the military.
MR. HANSON answered yes; he received significant exposure in the
highlands of Vietnam. The first symptoms appeared about 20 years
ago and became full blown about four years ago.
SENATOR STEVENS asked if the Veterans Administration has been of
assistance.
MR. HANSON replied yes and they're good when they've finally
lined up, but it's a slow, cumbersome process.
SENATOR STEVENS thanked Mr. Hansen for his service.
CHAIR COSTELLO thanked Mr. Hansen for his service and Senator
Giessel for introducing the legislation.
2:07:49 PM
DR. LATHA SUBRAMANIAN, MD, Denali Oncology Group, Anchorage,
Alaska, testified in strong support of SB 142. She explained
that Denali Oncology Group represents all the medical and
radiation oncologists in Alaska and the nurse practitioners.
They are the Alaska chapter for the American Society of Clinical
Oncology. Their mission is to advocate for their patients and
ensure that any Alaskan that has cancer will have equal access
to the most effective therapy for his/her cancer in Alaska.
DR. SUBRAMANIAN said she couldn't say it any better than the
previous testifier. In the last several years tremendous
progress has been made in the care of cancer and there are
several new drugs for many kinds of cancer, including multiple
myeloma. Sometimes the most effective treatment is taken by
mouth and there isn't an intravenous substitute. The problem is
that even if a patient has health insurance, they often can't
afford the prescribed oral drug because their policy includes
deductibles, co-pays, co-insurance and various formularies.
Patients that can't afford a drug, simply don't take it.
DR. SUBRAMANIAN urged the committee to pass SB 142 to ensure
equal, affordable access for cancer patients so they can get the
best treatment available regardless of the method of delivery.
2:11:43 PM
ROD GORDON, Pharmacist, Great Land Infusion Pharmacy, Anchorage,
Alaska, testified in support of SB 142. He said this is a
specialty pharmacy that focuses on infusion therapy, but also
provides support for patients who need oral medications. In
addition to what has already been said about barriers to access,
an unforeseen consequence of high co-pays is that it forces
patients to resort to an out-of-state specialty pharmacy to get
a competitive co-pay. This prevents immediate access and a
personal face-to-face interaction with a specialty oncology
pharmacy provider.
2:13:50 PM
THEA ZAJAC, Director, Government Affairs, Leukemia and Lymphoma
Society, California, testified in support of SB 142. She thanked
the sponsor for introducing the bill and stressed its importance
for people living with blood cancers in Alaska. She said cancer
treatment is changing rapidly and this legislation is about
catching up the insurance industry with the modernization of
treatments. She said she has worked on this issue in several
states and has seen the positive impact it has on patients'
lives.
2:15:09 PM
LINDSEY TRISCHLER, Advocate Associate, International Myeloma
Foundation (IMF), Washington, D.C., testified in support of SB
142. IMF is the largest and oldest foundation dedicated to
improving the quality of life of myeloma patients. They work
collaboratively with organizations and individuals representing
patients in Alaska to focus on equal access to treatments
regardless of how it's administered. Treatment decisions should
be based on what is the most effective, not what the patient is
able to afford. She echoed Mr. Hansen's testimony about the
difficulty and complication of myeloma cancer treatments and
emphasized that it is highly treatable given the advancements in
drug development. The different treatment options have enabled
patients to live longer, but remissions are not always permanent
so additional treatment options are essential. Thus, it is
critical that all cancer patients have equal access to all
treatments, not just the ones covered on an affordable rate.
2:18:24 PM
SHEILA STICKEL, West Coast Field Director, National Patient
Advocate Foundation (NPAF), Seattle, Washington, testified in
support of SB 142. She said SB 142 would ensure coverage for all
oral cancer medications that are equal to the traditional IV
therapies. Nearly 30 percent of the new cancer therapies are
oral but insurance doesn't always cover them at the same rate as
intravenous drugs. There are a host of very good reasons for
patients to have access to oral therapies but those in critical
need of oral cancer medication often have prescription policies
that cost thousands of dollars each month. This can exhaust
financial resources and force difficult decisions. By ensuring
there is parity between the types of cancer treatments, Alaska
will take the needed step of ensuring patients have access to
the treatment that their physician prescribed.
Forty states and the District of Columbia have already passed
oral parity laws. SB 142 would make it easier for patients in
Alaska to afford oral cancer medications.
2:21:52 PM
DR. MARY STEWART, Oncologist, Alaska Oncology & Hematology,
Anchorage, Alaska, testified in support of SB 142. She said she
has practiced in Alaska since 1985 and is amazed at the options
for cancer treatment that are available today. "Oral drugs are
simply amazing" but they're all expensive. It's clear that
something has to be done nationally to affect pharmaceutical
pricing, but "you and I can't do anything about that," she said.
However, it is possible to positively affect people in Alaska by
giving them access to medications.
2:23:22 PM
EMILY NENON, Director, Government Relations, American Cancer
Society, Anchorage, Alaska, testified in support of SB 142. She
said she works on cancer research funding issues at the federal
level and at the American Cancer Society. She said there have
been tremendous strides in the area of cancer treatments and
over one-quarter of the anti-cancer treatments in the research
pipeline are in oral form. This bill is about modernizing
statutes and getting equitable coverage between oral and
intravenous anti-cancer medications.
2:24:50 PM
SENATOR COSTELLO closed public testimony.
CHAIR GIESSEL offered a conceptual amendment on page 2, line 4.
Insert: "Nothing in this section shall prohibit a plan from
requiring different cost sharing rates for in network and out-
of-network pharmacies." The language was recommended by the
Division of Insurance.
Renumber the subsequent subsection.
She said she would have a committee substitute prepared.
CHAIR COSTELLO held SB 142 in committee awaiting the CS.