The Globe and Mail reports in its Monday, Aug. 26, edition that the Ontario government is mulling whether new regulations are needed to limit exclusivity deals between insurers and pharmacies. The Globe's Clare O'Hara and Susan Krashinsky Robertson write that a consultation process has been launched seeking feedback from businesses and consumers on the issue. Regulators across the country have been scrutinizing these arrangements, known as "preferred provider networks," in recent months.
Canada's largest insurer, Manulife Financial, faced public backlash earlier this year and subsequently cancelled a PPN arrangement that would have restricted plan members to receiving specialty medications exclusively through pharmacies owned by Loblaw.
The Ontario Ministry of Finance has now announced a 60-day public comment period to gather input from insurance companies, pharmacy operators, consumers and employers in order to better understand the role of PPNs in the province's group benefits insurance sector.
In a consultation paper released on Friday, the government stated that it is considering whether policy intervention is needed or appropriate in relation to PPNs in the province.
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