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Bill > S3570


NJ S3570

NJ S3570
Requires availability of electronic fund transfers by health insurance carriers to reimburse covered persons.


summary

Introduced
02/19/2026
In Committee
02/19/2026
Crossed Over
Passed
Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

This bill requires a carrier, or the carrier's contracted vendor, to allow payment to a covered person for reimbursement to include reimbursement through an electronic funds transfer. A carrier is to include, as part of its health benefits plan, notification to a covered person: (1) if a reimbursement payment through an electronic funds transfer has a fee associated with it; and (2) of the instructions on the carrier's, or the carrier's contracted vendor's, website to select an electronic funds transfer as the means to receive a reimbursement payment. Any violation of the bill's provisions may be subject to enforcement by the Department of Banking and Insurance.

AI Summary

This bill mandates that health insurance carriers, or their contracted vendors, must offer electronic funds transfer (EFT) as an option for reimbursing covered individuals, which means a person on whose behalf the carrier is obligated to pay benefits or provide services. Carriers are required to inform individuals about any fees associated with using EFT for reimbursements and provide clear instructions on their website for selecting EFT as a payment method. The Department of Banking and Insurance will oversee compliance, with violations potentially leading to civil penalties and requiring carriers to reimburse individuals for any documented fees incurred due to non-compliance. This applies to health benefits plans, which cover medical and hospital expenses, but excludes certain types of coverage like accident-only or disability insurance.

Committee Categories

Business and Industry

Sponsors (1)

Last Action

Introduced in the Senate, Referred to Senate Commerce Committee (on 02/19/2026)

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