---
kind: "section"
citation: "42 U.S.C. § 300gg–120"
title: "42"
title_heading: "The Public Health and Welfare"
number: "300gg–120"
heading: "Reporting on pharmacy benefits and drug costs"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/300gg-120"
units:
  - "Chapter 6A — Public Health Service"
  - "Subchapter XXV — Requirements Relating to Health Insurance Coverage"
  - "Part D — Additional Coverage Provisions"
---

# §300gg–120. Reporting on pharmacy benefits and drug costs

- (a) **In general—** Not later than 1 year after December 27, 2020, and not later than June 1 of each year thereafter, a [group health plan](/usc/42/300bb–8.md?p=1) or [health insurance issuer](/usc/42/300gg–91.md?p=b-2) offering group or [individual health insurance coverage](/usc/42/300gg–91.md?p=b-5) (except for a [church plan](/usc/42/300gg–91.md?p=d-7)) shall submit to the [Secretary](/usc/42/201.md?p=c), the [Secretary](/usc/42/201.md?p=c) of Labor, and the [Secretary](/usc/42/201.md?p=c) of the Treasury the following information with respect to the health plan or coverage in the previous plan year:
  - (1) The beginning and end dates of the plan year.
  - (2) The number of enrollees.
  - (3) Each [State](/usc/42/201.md?p=f) in which the plan or coverage is offered.
  - (4) The 50 brand prescription [drugs](/usc/42/11851.md?p=4) most frequently dispensed by pharmacies for claims paid by the plan or coverage, and the total number of paid claims for each such [drug](/usc/42/11851.md?p=4).
  - (5) The 50 most costly prescription [drugs](/usc/42/11851.md?p=4) with respect to the plan or coverage by total annual spending, and the annual amount spent by the plan or coverage for each such [drug](/usc/42/11851.md?p=4).
  - (6) The 50 prescription [drugs](/usc/42/11851.md?p=4) with the greatest increase in plan expenditures over the plan year preceding the plan year that is the subject of the report, and, for each such [drug](/usc/42/11851.md?p=4), the change in amounts expended by the plan or coverage in each such plan year.
  - (7) Total spending on health [care services](/usc/42/300z–1.md?p=a-7) by such [group health plan](/usc/42/300bb–8.md?p=1) or [health insurance coverage](/usc/42/300gg–91.md?p=b-1), broken down by—
    - (A) the type of costs, including—
      - (i) [hospital](/usc/42/300s–3.md?p=1) costs;
      - (ii) [health care provider](/usc/42/300aa–33.md?p=1) and clinical [service](/usc/42/201.md?p=a) costs, for primary care and specialty care separately;
      - (iii) costs for prescription [drugs](/usc/42/11851.md?p=4); and
      - (iv) other medical costs, including wellness [services](/usc/42/201.md?p=a); and
    - (B) spending on prescription [drugs](/usc/42/11851.md?p=4) by—
      - (i) the health plan or coverage; and
      - (ii) the enrollees.
  - (8) The average monthly premium—
    - (A) paid by [employers](/usc/42/300gg–91.md?p=d-6) on behalf of enrollees, as applicable; and
    - (B) paid by enrollees.
  - (9) Any impact on premiums by rebates, fees, and any other remuneration paid by [drug](/usc/42/11851.md?p=4) [manufacturers](/usc/42/300aa–33.md?p=3) to the plan or coverage or its [administrators](/usc/42/300bb–8.md?p=4) or [service](/usc/42/201.md?p=a) [providers](/usc/42/299b–21.md?p=8), with respect to prescription [drugs](/usc/42/11851.md?p=4) prescribed to enrollees in the plan or coverage, including—
    - (A) the amounts so paid for each therapeutic class of [drugs](/usc/42/11851.md?p=4); and
    - (B) the amounts so paid for each of the 25 [drugs](/usc/42/11851.md?p=4) that yielded the highest amount of rebates and other remuneration under the plan or coverage from [drug](/usc/42/11851.md?p=4) [manufacturers](/usc/42/300aa–33.md?p=3) during the plan year.
  - (10) Any reduction in premiums and out-of-pocket costs associated with rebates, fees, or other remuneration described in [paragraph (9)](#a-9).
- (b) **Report—** Not later than 18 months after the date on which the first report is required under [subsection (a)](#a) and biannually thereafter, the [Secretary](/usc/42/201.md?p=c), acting through the Assistant [Secretary](/usc/42/201.md?p=c) of Planning and Evaluation and in coordination with the Inspector General of the Department of Health and Human [Services](/usc/42/201.md?p=a), shall make available on the internet website of the Department of Health and Human [Services](/usc/42/201.md?p=a) a report on prescription [drug](/usc/42/11851.md?p=4) reimbursements under [group health plans](/usc/42/300bb–8.md?p=1) and group and [individual health insurance coverage](/usc/42/300gg–91.md?p=b-5), prescription [drug](/usc/42/11851.md?p=4) pricing trends, and the role of prescription [drug](/usc/42/11851.md?p=4) costs in contributing to premium increases or decreases under such plans or coverage, aggregated in such a way as no [drug](/usc/42/11851.md?p=4) or plan specific information will be made public.
- (c) **Privacy protections—** No confidential or trade secret information submitted to the [Secretary](/usc/42/201.md?p=c) under [subsection (a)](#a) shall be included in the report under [subsection (b)](#b).

## Source credit

(July 1, 1944, ch. 373, title XXVII, § 2799A–10, as added Pub. L. 116–260, div. BB, title II, § 204(a), Dec. 27, 2020, 134 Stat. 2918.)