Bill

Bill > A2911


NJ A2911

NJ A2911
Requires practitioners to disclose business relationship with out-of-State facilities when making patient referrals to those facilities.


summary

Introduced
01/09/2024
In Committee
01/09/2024
Crossed Over
Passed
Dead
01/12/2026

Introduced Session

2024-2025 Regular Session

Bill Summary

This bill seeks to ensure that when patients are referred by their practitioners to health care services located, or owned by an entity that is located, outside this State, the patients are notified of any business relationships that the practitioner may have with the out-of-State health care entity to which the patient is referred and other relevant information that the patient should consider. Specifically, the bill provides that a practitioner (a physician or podiatrist), who refers his patients to an out-of-State health care service in which the practitioner has a business relationship, shall provide the patient with a written disclosure of that relationship at or prior to the time that the referral is made, and post a copy of the disclosure in a conspicuous public place in the practitioner's medical office and on the practitioner's or the practitioner's professional corporation's website, if applicable. The bill defines "out-of-State health care service" to mean any health care service that bills for its services in the name of a business entity located out-of-State, regardless of whether the location at which health care services are provided, and to which the patient is referred, is located within the State. The written disclosure shall be in the following form: New Jersey law requires that a practitioner provide his patients with this disclosure form if the practitioner or the practitioner's professional corporation may have a business relationship with an out-of-State health care service, prior to referring his patient to that health care service. The law also requires that this disclosure include a list of health care service providers located within the county and contiguous counties in New Jersey that offer the same service for which the referral is being made, and indicate whether the out-of-State health care service will be considered to be, and reimbursed at, an "out-of-network" level by your health plan or other third party payer. This disclosure shall also include information related to any additional transportation costs that may be incurred by the patient or another party as a result of the referral to an out-of-State health care service. Accordingly, please be advised that ______________ [name of practitioner or practitioner's professional corporation, as applicable] has a business relationship with the following out-of-State health care service(s) to which I [or the professional corporation] refer patients: [list applicable health care services]· The business relationship involves ________________ [describe the nature of the business relationship]· You may, of course, seek treatment at a health care service provider of your own choice, and you may be able to access this service within the State of New Jersey. Health care service providers located in this county and contiguous counties in the State that are licensed to provide this health care service include: [list applicable health care services and their addresses]." · Please be further advised that the health care service to which you are being referred ___DOES ___DOES NOT participate in your health plan or other third party's provider network. If the health care service does not participate in your network, reimbursement for the services by your health plan or other third party payer will be at an "out-of-network" level, and may result in higher costs to you than if you received the health care service at a "network" provider. Please contact your health plan or other third party payer for additional information related to differences in reimbursement for in-network and out-of-network providers.· There may an increased cost associated with the out-of-State referral as compared to a referral to a comparable health care service located in New Jersey. [provide information about the cost differential, if any]· If the health care service that is the subject of the referral involves an overnight stay, your recovery may be affected by the location of the health care service, in terms of the ability of family and friends to provide needed support during and after hospitalization, and with respect to post-hospitalization care or rehabilitation. You may discuss this aspect of the referral with your practitioner. The bill defines "business relationship" to mean any financial relationship between a practitioner or a practitioner's professional corporation and a health care service, including, but not limited to: an employment, investment, or independent contractor relationship; any relationship involving payments made by or between the parties; or a relationship involving an exchange of any item or service of value by or between the parties. A practitioner who violates the provisions of this bill shall be subject to disciplinary action by the State Board of Medical Examiners pursuant to section 12 of P.L.1978, c.73 (C.45:1-25). The bill takes effect on the 90th day after enactment.

AI Summary

This bill seeks to ensure that patients are notified of any business relationships between their practitioners and out-of-state healthcare services to which they are referred. Specifically, the bill requires practitioners to provide patients with a written disclosure if they have a business relationship with an out-of-state healthcare service, including information about in-state alternatives, the patient's network status, and any potential cost differences. The bill defines key terms like "business relationship" and "out-of-state healthcare service," and authorizes the State Board of Medical Examiners to take disciplinary action against practitioners who violate the law's provisions. The bill takes effect 90 days after enactment.

Committee Categories

Health and Social Services

Sponsors (1)

Last Action

Introduced, Referred to Assembly Health Committee (on 01/09/2024)

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