304.9-053 Licensure of pharmacy benefit managers. (1) (a) In order to conduct business in this state, a pharmacy benefit manager shall first obtain a license from the commissioner. The license shall be in lieu of an administrator's license as required by KRS 304.9-052. (b) A licensed pharmacy benefit manager performing utilization review, as defined in KRS 304.17A-600, shall be registered as a private review agent in accordance with KRS 304.17A-607. (2) A pharmacy benefit manager seeking a license shall apply to the commissioner in writing on a form provided by the department. The application form shall state the name, address, official position, and professional qualifications of each individual responsible for the conduct of affairs of the pharmacy benefit manager, including all members of the board of directors, board of trustees, executive committee, other governing board or committee, the principal officers in the case of a corporation, the partners or members in the case of a partnership or association, and any other person who exercises control or influence over the affairs of the pharmacy benefit manager, and the name and address of the applicant's agent for service of process in this state. (3) Each application for a license and subsequent renewal for a license shall be accompanied by a nonrefundable fee of one thousand dollars ($1,000) and evidence of financial responsibility in an amount of one million dollars ($1,000,000). (4) Any person acting as a pharmacy benefit manager on July 15, 2016, and who is required to obtain a license under subsection (1) of this section, shall obtain a license from the commissioner not later than January 1, 2017, in order to continue to do business in this state. If the license fee required in subsection (3) of this section is submitted after January 1, 2017, a penalty fee of five hundred dollars ($500) shall be paid. (5) All licenses issued under this section shall be renewed annually in accordance with KRS 304.9-260. If the renewal fee required in subsection (3) of this section is paid after the renewal date, a penalty fee of five hundred dollars ($500) shall be paid. Effective: July 15, 2016 History: Created 2016 Ky. Acts ch. 79, sec. 2, effective July 15, 2016.