AB 1155 - Penalties for Healthcare Service Plan Underpayments or Failures to Pay Service Providers - California Key Vote

Stage Details

Title: Penalties for Healthcare Service Plan Underpayments or Failures to Pay Service Providers

See How Your Politicians Voted

Title: Penalties for Healthcare Service Plan Underpayments or Failures to Pay Service Providers

Vote Smart's Synopsis:

Vote to pass a bill that authorizes the Director of the Department of Managed Health Care to demand payment from health insurance plans to service providers in case of underpayment or failure to pay.

Highlights:

- Provides that when a healthcare service plan has underpaid or failed to pay a service provider, the Director of the Department of Managed Health Care shall impose a penalty and require the healthcare service plan to pay a sum not less than the amount owed plus interest (Sec. 1). - Exempts healthcare service plans from paying the penalty if the Director finds that paying the penalty would jeopardize the financial solvency of the healthcare service plan provider (Sec. 1). - Allows the Director to require that, in extraordinary circumstances, a provider resubmit a claim to the healthcare service plan in order to receive payment, provided that the Director also requires the plan to reimburse the provider for the cost of resubmission (Sec. 1). - Requires all penalties and fines to be paid to the Managed Care Fund (Sec. 2).

See How Your Politicians Voted

Title: Penalties for Healthcare Service Plan Underpayments or Failures to Pay Service Providers

Vote Smart's Synopsis:

Vote to pass a bill that authorizes the Director of the Department of Managed Health Care to demand payment from health insurance plans to service providers in case of underpayment or failure to pay.

Highlights:

- Provides that when a healthcare service plan has underpaid or failed to pay a service provider, the Director of the Department of Managed Health Care shall impose a penalty and require the healthcare service plan to pay a sum not less than the amount owed plus interest (Sec. 1). - Exempts healthcare service plans from paying the penalty if the Director finds that paying the penalty would jeopardize the financial solvency of the healthcare service plan provider (Sec. 1). - Allows the Director to require that, in extraordinary circumstances, a provider resubmit a claim to the healthcare service plan in order to receive payment, provided that the Director also requires the plan to reimburse the provider for the cost of resubmission (Sec. 1). - Requires all penalties and fines to be paid to the Managed Care Fund (Sec. 2).

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