Washington State House of Representatives Office of Program Research |
BILL ANALYSIS |
Health Care & Wellness Committee | |
HB 2664
This analysis was prepared by non-partisan legislative staff for the use of legislative members in
their deliberations. This analysis is not a part of the legislation nor does it constitute a
statement of legislative intent.
Brief Description: Prohibiting the sale and use of prescriber-identifiable prescription data for marketing or promotional purposes.
Sponsors: Representatives Pedersen, Cody, Green, Morrell, Seaquist, Conway, Hasegawa, Hudgins, Upthegrove, Chase, Liias, Nelson, Loomis, McIntire, Barlow, Schual-Berke and VanDeWege.
Brief Summary of Bill |
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Hearing Date: 1/21/08
Staff: Dave Knutson (786-7146).
Background:
Health care information companies purchase electronic records of prescriptions from pharmacies
and other sources and link them with information about doctors that is licensed from the
Physician Masterfile of the American Medical Association (AMA). The Physician Masterfile
contains information on virtually every physician in the United States, including physicians who
do not belong to the AMA. This information can then be sold to pharmaceutical companies who
may use it to target individual physicians using their personal prescribing patterns. In 2005 the
AMA received $44.5 million from sales of physician prescription information from the
Masterfile. The AMA recently began a prescribing data restriction program which allows
physicians to prevent their own prescribing data from being released to pharmaceutical
companies through an opt-out process.
Summary of Bill:
Pharmaceutical marketers are prohibited from purchasing, licensing, transferring, using , or
selling regulated records that include prescriber identifiable information to market or promote a
prescription drug. A pharmaceutical marketer that violates this prohibition is subject to a fine of
up to $50,000 per violation. A violation of this prohibition is also considered an unfair or
deceptive act in trade or commerce and an unfair method of competition for the purpose of
applying the Consumer Protection Act, Chapter 19.86 RCW. Records held by an agency
administering a state purchased health care program that contain prescription information
containing prescriber-identifiable data that can identify a prescriber, are exempt from disclosure
under the Public Records Act, Chapter 42.56 RCW.
Appropriation: None.
Fiscal Note: Not requested.
Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.