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Governor Signs Laws Lowering Health Care Costs, Strengthening Oversight

08:59AM / Sunday, January 19, 2025
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BOSTON — Governor Maura Healey today signed into law S.3012, An Act relative to pharmaceutical access, costs, and transparency, and H.5159, An Act enhancing the market review process. The laws aim to lower health care costs, cap prescription drug copays at $25, improve primary care access, and strengthen oversight of the health care industry.
 
"We know that one of the biggest strains on Massachusetts families' budgets is high health care costs. These new laws will lower out-of-pocket costs by capping copays at $25 for lifesaving prescription medications and increasing transparency in the industry," said Governor Healey. "They also close loopholes in our regulatory processes so that for-profit providers like Steward Health Care are subject to the same transparency rules as non-profit providers. As Attorney General, I spent years in court trying to hold Steward to this standard, and I'm glad that our laws will no longer be exploited in this way. I'm grateful for the strong leadership of Speaker Ron Mariano, Senate President Karen Spilka, and the Legislature for advancing these bills that will strengthen our health care system, lower costs, and protect patients and providers."
 
An Act relative to pharmaceutical access, costs, and transparency includes comprehensive reforms to lower prescription drug costs and improve oversight of the pharmaceutical industry. Insurers are required to eliminate cost-sharing for one generic drug, cap co-pays on one brand-name drug at $25 per 30-day supply for certain conditions, and ensure continuity of coverage for new members' existing prescriptions.
 
An Act enhancing the market review process closes regulatory loopholes, expands data collection and public review of health care transactions, and increases oversight of private owners of health care resources. The law prohibits hospital licenses for facilities on Real Estate Investment Trust (REIT)-owned property and strengthens transparency around health care ownership.
 
The legislation also establishes a primary care task force, co-chaired by Health and Human Services Secretary Kate Walsh and the Executive Director of the Health Policy Commission (HPC), to study access, delivery, and payment in primary care.
 
"These laws are an important step toward transparency and accountability for our health care system, and making medications more affordable," said Secretary Walsh.
 
Other legislative leaders and stakeholders expressed support for the reforms, highlighting their impact on affordability, equity, and oversight in Massachusetts' health care system.

 

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