Health and Science

Trump urges Senate to pass legislation prohibiting pharmacy 'gag clauses' 

Key Points
  • President Donald Trump supports Congress enacting legislation that would prohibit "gag clauses."
  • "Gag clauses" prevent pharmacists from telling patients that paying with cash may be less expensive than using their insurance benefits.
Donald Trump
Leah Millis | Reuters

President Donald Trump supports Congress enacting legislation that would prohibit "gag clauses," which prevent pharmacists from telling patients that paying with cash may be less expensive than using their insurance benefits.

Pharmacy benefit managers may write these orders into their contracts with pharmacies. Some states have already enacted their own legislation prohibiting the practice, though a federal ban is not currently in place. The Senate is slated to vote Monday on the Patient Right to Know Drug Prices Act, which would ban gag clauses.

"Americans deserve to know the lowest drug price at their pharmacy, but "gag clauses" prevent your pharmacist from telling you! I support legislation that will remove gag clauses and urge the Senate to act," Trump tweeted Monday.

Tweet

Sen. Susan Collins, R-Maine, introduced the bill in March. Pharmaceutical Care Management Association, the industry's lobbying group, supports the legislation.

"PCMA strongly supports S. 2554, legislation that will ensure America's patients always pay the lowest cost for their medications at the pharmacy counter, whether it's the cash price or the copay," PCMA President Mark Merritt said in a statement this summer.

The Trump administration has vowed to make prescription drugs more affordable. It unveiled a policy blueprint earlier this year aimed at tackling the issue.