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A new law went into effect on July 1 that requires prescription drug manufacturers to report information regarding price increases, the Minnesota Senate Republican Caucus reported.

The Prescription Drug Price Transparency Act was created to make sure there is greater clarity in regard to healthcare pricing. It makes sure that with existing drugs and new drugs, as well as newly acquired drugs, price increases are reported, the news release states.

“This new law delivers benefits for every Minnesotan, which is why I was a proponent of this bill in the Senate,” Sen. Torrey Westrom (R-Elbow Lake) said in the news release. “Consumers have been asking for pharmaceutical accountability for years – this bill will keep prices from soaring and requires a justifiable explanation for unexpected increases.”

The new law also makes it so that prescriptions that are more than $100 for a 30-day supply, manufacturers are required to produce reports with specific information involving drug pricing, like when brand name drug prices are increased by 10% or more within a year's time or at least by 16% in two years; and when generic drugs have an increase of 50% or more in a year's time.