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Bill > A1877
NJ A1877
NJ A1877Requires carriers to offer health care providers more than one method of payment for reimbursement.
summary
Introduced
01/09/2024
01/09/2024
In Committee
01/09/2024
01/09/2024
Crossed Over
Passed
Dead
01/09/2024
01/09/2024
Introduced Session
2024-2025 Regular Session
Bill Summary
Under the this bill, any network agreement between a carrier, or the carrier's contracted vendor, and a health care provider for the provision of health or dental care services is prohibited from mandating only one form of payment to the health care provider. A carrier, or the carrier's vendor, is also prohibited from restricting the method of payment to an out-of-network health care provider providing out-of-network covered services to only one form of payment. The bill also requires a carrier, or the carrier's contracted vendor, to provide certain information to a health care provider, prior to initiating its first payment to the health care provider, where one of the available payment methods includes a fee and before changing the available payment methods. The bill prohibits a carrier from using a health care provider's preferred method of payment as a factor when deciding whether to provide credentials to a health care provider.
AI Summary
This bill prohibits network agreements between carriers (insurance companies, health service corporations, etc.) and healthcare providers from mandating only one form of payment, such as credit card, electronic funds transfer, or check. It also prohibits carriers from restricting out-of-network providers to a single payment method. The bill requires carriers to disclose any fees associated with payment methods and provide instructions on how to select them. It also prohibits carriers from using a provider's preferred payment method as a factor in credentialing decisions. The bill cannot be waived by contract and violations may result in civil penalties and reimbursement of fees incurred by providers.
Committee Categories
Business and Industry
Sponsors (4)
Last Action
Withdrawn Because Approved P.L.2023, c.247. (on 01/09/2024)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/A1877 |
| BillText | https://pub.njleg.gov/Bills/2024/A2000/1877_I1.HTM |
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