ALDOI launches PBM Compliance Division

Contact: Jennifer Bowen
(334) 269-3550

8/29/2025

The Alabama Department of Insurance announces the creation of a new division within the department, the Pharmacy Benefit Manager (PBM) Compliance Division. 

The purpose of the new division will be to coordinate all department efforts to fully enforce Alabama’s newly expanded PBM law, the Community Pharmacy Relief Act, passed by the Alabama Legislature in 2025. The new law also gives the department the authority to fully enforce the Pharmacy Audit Integrity Act, passed in 2012. 

“Our department takes this new authority extremely seriously and has been putting the necessary pieces in place to fully enforce compliance with all provisions of the new PBM law,” Insurance Commissioner Mark Fowler said. “We have had countless meetings and consultations with the numerous stakeholders and stakeholder groups, as well as subject matter experts and other state insurance departments, from all sides of this issue in preparation to make sure we get this right.”

“Full implementation of the PBM law will touch several divisions of this department and many of our employees will have some level of activity in the course of enforcement”, Fowler said.

Among the primary duties of the new PBM Compliance Division will be to coordinate the various interdivisional functions of the department that will be involved in PBM regulatory enforcement and, equally important, to directly address complaints filed with the department by pharmacies under the Pharmacy Audit Integrity Act. Under the law, all costs to the state associated with PBM regulation will be paid by the PBMs that operate in Alabama. No state general fund money will be needed.

The new division will become effective on Tuesday, September 2, 2025. 

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