What Is an Oklahoma Pharmacy Benefits Managers Bond?
Under Oklahoma Administrative Code, all licensed pharmacy benefits managers in the state must file a surety bond. These surety bonds create legally-binding contracts between three parties:
- Principal: The pharmacy benefits manager who purchases the bond
- Surety: The provider who issues the bond and financially backs the principal
- Obligee: The Oklahoma Insurance Department that requires the bond
If the bonded principal violates the state code, harmed parties can file a claim against the bond to recover any financial damages. The surety guarantees funds are available to pay out valid claims and protect the public.
How Much Do Pharmacy Benefits Managers Bonds Cost in Oklahoma?
Bond premium prices are determined based on the bond amount and the applicant’s creditworthiness, starting as low as 1% of the bond amount. For example, a $50,000 pharmacy benefits manager bond would cost just $500 for an applicant with excellent credit. Apply now for a free, personalized quote:
How Do Oklahoma Pharmacy Benefits Managers Bonds Work?
The bond amount is determined by the Commissioner based on the number of individuals covered by the pharmacy benefit managers contracts in Oklahoma:
- 0–5,000 Lives: $50,000 Bond
- 5,001–10,000 Lives: $100,000 Bond
- 10,001–25,000 Lives: $250,000 Bond
- 25,001–50,000 Lives: $500,000 Bond
- 50,001–100,000 Lives: $750,000
- 100,001 or More Lives: $1,000,000
You’ll need to renew your bond annually to maintain licensure. To cancel the bond, the surety or obligee must provide 30-days’ written notice to the principal and the Commissioner.
How Do I Get a Pharmacy Benefits Managers Bond?
Choosing SuretyBonds.com is the quickest and easiest way to get your Oklahoma pharmacy benefits manager bond. Just follow these five steps:
- Step 1: Apply for your bond online
- Step 2: Receive a quote within one business day
- Step 3: Pay for your invoice
- Step 4: Select your preferred shipping method
- Step 5: Sign, notarize and mail the original bond form to the address below
Oklahoma Insurance Department
400 NE 50th St
Oklahoma City, OK 73105
(405) 521-2828
Who Needs an Oklahoma Pharmacy Benefits Managers Bond?
The state requires a surety bond for any individual or company engaged in “doing pharmacy benefits management business” in Oklahoma, which includes the following:
- Making or proposing to make a contract with a covered entity for the provision of PBM services to individuals residing in Oklahoma
- Directly providing PBM services to individuals residing in Oklahoma
- Directly or indirectly acting as an agent for any person involved in the contract process for PBM services in Oklahoma
How to Become a Pharmacy Benefits Manager in Oklahoma
The Oklahoma Insurance Department regulates licensing for PBMs. You can apply online at www.optins.org. Registration requirements include the following:
- Application form
- Articles of Incorporation and Bylaws or Articles of Organization and Operating Agreement
- Certificate of Authority from the Oklahoma State Secretary
- Audited financial statement
- Certified executive officer attestation
- Required application fees
- Pharmacy benefits manager’s surety bond
