FINAL BILL REPORT

SB 5824

                              C 122 L 89

BYSenators Johnson and McMullen

Revising the provision for payment of certain health care services.

Senate Committee on Financial Institutions & Insurance

House Committe on Financial Institutions & Insurance

SYNOPSIS AS ENACTED

BACKGROUND:

Health care service contractors (HCSC) may issue benefit payments directly to physicians and other health care providers who have contracted to provide services to subscribers.  When a subscriber uses the services of a physician who has not contracted with the HCSC, benefit payments must be issued jointly to the subscriber and the physician unless the subscriber proves the physician has been paid.  The order in which the provider and insured appear on the check is not specified.

This has created situations where the insured deposits the check and does not reimburse the provider.

SUMMARY:

Checks for the payment of claims made by an insurance company for services provided by a licensed health care provider must be issued with the provider's name appearing first.

Pharmacists and providers of emergency medical care and transportation services are added to the list of licensed providers to whom benefit payments must be issued jointly.

VOTES ON FINAL PASSAGE:

     Senate   44    1

     House 94  2

EFFECTIVE:July 23, 1989