Is a new Kansas law increasing the price of all state residents’ prescriptions?

Senate Bill 20, enacted in April 2026, does not impose a surcharge directly on consumers.

The legislation requires pharmacy benefit managers — middle-men between wholesalers, pharmacies and insurance companies — to reimburse pharmacies for the federally calculated cost of drugs, plus a $10.50 dispensing fee for operational costs, such as maintaining pharmacy equipment and facilities.

SB20 permits — but does not require — PBMs to pass those costs onto insurers or consumers. Whether a consumer is impacted depends on their specific prescriptions and insurance. 

SB 20 applies only to commercial insurance — not government-run plans like Medicare or Medicaid. Consumers with high-deductible health plans and those taking low-cost generic drugs will be impacted most.

Consumers taking brand-name drugs may see lower prices, as SB20 requires PBMs to charge regulated rates for prescription drugs instead of marking them up.

Several states, including Alabama and Iowa, adopted similar measures in 2025.