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GA HB1374

GA HB1374
Insurance; methods of payment to healthcare providers; provide certain requirements


summary

Introduced
02/18/2026
In Committee
03/18/2026
Crossed Over
03/04/2026
Passed
04/10/2026
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

AN ACT To amend Chapter 24 of Title 33 of the Official Code of Georgia Annotated, relating to insurance generally, so as to provide for certain requirements concerning methods of payment to healthcare providers; to provide for definitions; to provide for notification; to provide for the avoidance of additional fees; to prohibit contractual waivers of certain statutory requirements; to amend Part 1 of Article 3 of Chapter 5 of Title 50 of the Official Code of Georgia Annotated, relating to general authority, duties, and procedures relative to state purchasing, so as to revise provisions for the award of contracts to prequalified suppliers; to clarify competitive bidding requirements and procedures with respect to prequalified suppliers; to provide for a report to the General Assembly; to prohibit the renewal or extension of contracts under certain circumstances; to require the commissioner of administrative services to adopt rules, regulations, and procedures; to provide for related matters; to repeal conflicting laws; and for other purposes.

AI Summary

This bill aims to regulate payment methods between health insurance plans and healthcare providers, and also revises state purchasing procedures. Regarding insurance payments, it prohibits health insurance plans, or their vendors and care management organizations, from restricting payment methods to only credit cards or other methods that impose fees on healthcare providers, effective for plans issued or renewed after January 1, 2027. Instead, providers must be notified of any associated fees, offered alternative payment methods that don't charge them, and must explicitly agree to accept credit card or electronic funds transfer payments, either directly or through their agent, who is a third-party firm or individual handling administrative tasks like billing and payment processing. Healthcare providers or their agents can charge reasonable fees for additional services like transaction and data management when using automated clearing-house network payments. The bill also clarifies that contractual waivers of these payment requirements are void. In terms of state purchasing, it amends rules regarding prequalified suppliers, ensuring that while prequalification can be a factor in awarding contracts, it cannot override competitive bidding requirements, and the Commissioner of Administrative Services must establish rules to prevent this. Furthermore, it prohibits the renewal or extension of contracts that were initially exempt from competitive bidding due to a low price if the renewed or extended contract price exceeds that original threshold, except in cases of emergency purchases.

Committee Categories

Health and Social Services

Sponsors (6)

Last Action

House Sent to Governor (on 04/10/2026)

bill text


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