Tennessee § 56-7-117 - Required use of mail-order pharmacy prohibited.

§ 56-7-117. Required use of mail-order pharmacy prohibited.

No group medical benefit contract issued by an insurance company, a hospital service corporation, a hospital and medical service corporation, a medical service corporation, a health maintenance organization or a health care center, that provides coverage for prescription drugs, may require any person covered under the contract to obtain prescription drugs from a mail-order pharmacy in order to obtain benefits for the drugs, or to pay an additional fee or be subjected to any other penalty for failing to utilize any mail-order pharmacy designated by the insurance company or other issuing organization. The commissioner is authorized to promulgate regulations to implement and enforce this section. Acts 1990, ch. 836, §§ 1, 2. Compiler's Notes. Acts 1990, ch. 836, § 3 provided that the provisions of this section apply to all group medical benefit contracts delivered, issued for delivery or renewed in this state on or after July 1, 1990. Attorney General Opinions. This section applies to listed entities that are regulated under different provisions of state law and, because the state insurance committees are not regulated under any of these statutory schemes, this section does not apply to them when they are defining the benefits for state plans, OAG 04-001, 2004 Tenn. AG LEXIS 1 (1/06/04). This section and T.C.A. § 56-7-2359 do not apply to a local governmental entity defining benefits to be offered under its self-funded employee health plan, OAG 04-001, 2004 Tenn. AG LEXIS 1 (1/06/04).