Senate Study Bill 3007 SENATE FILE BY (PROPOSED COMMITTEE ON HUMAN RESOURCES BILL BY CHAIRPERSON VEENSTRA) Passed Senate, Date Passed House, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to provisions of an accident or health policy 2 regarding equal compensation of certain providers of 3 equivalent services and accessibility to certain providers. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 5932XC 80 6 pf/sh/8 PAG LIN 1 1 Section 1. Section 509.3, Code 2003, is amended by adding 1 2 the following new subsections: 1 3 NEW SUBSECTION. 8. a. A provision that any services 1 4 provided by a participating health care provider licensed 1 5 pursuant to chapter 149, 151, or 154, which services are 1 6 provided within the scope of practice of the health care 1 7 provider as that scope of practice is defined pursuant to 1 8 chapter 149, 151, or 154, shall be compensated at the same 1 9 level as equivalent services provided by a participating 1 10 provider licensed in the practice of medicine and surgery 1 11 pursuant to chapter 148 or 150A. 1 12 b. Services shall be deemed equivalent if the services are 1 13 described using the same current procedural terminology codes 1 14 as published by the American medical association, or any 1 15 successor coding system. 1 16 c. For the purposes of the current procedural terminology 1 17 code, or any successor code, which is restricted to use only 1 18 by specific health care providers with the exception of 1 19 providers licensed under chapter 148 or 150A, the same level 1 20 of compensation means the compensation level that has the same 1 21 ratio to the then=current payment levels in the federal 1 22 Medicare resource=based relative value system for those 1 23 restrictive codes as the compensation level for evaluation and 1 24 management services codes, any equivalent code utilitized 1 25 under the Medicare resource=based relative value system, or 1 26 any successor coding system has to the current payment levels 1 27 in the federal Medicare resource=based relative value system 1 28 for evaluation and management services codes. 1 29 d. This subsection shall not be interpreted to prohibit a 1 30 policy from reimbursing health care providers licensed 1 31 pursuant to chapter 149, 151, or 154, using a flat fee per 1 32 visit or per case if the fee bears a reasonable relationship 1 33 to the number and types of services provided and if the per 1 34 visit or per case fees are determined in a manner that is 1 35 consistent with the compensation parameters established in 2 1 paragraph "c". 2 2 NEW SUBSECTION. 9. A provision that if the policy accepts 2 3 a person engaged in the practice of medicine or surgery 2 4 licensed under chapter 148 or 150A as a participating provider 2 5 to provide covered services, the person issuing the policy 2 6 shall accept as a participating provider any health care 2 7 provider licensed pursuant to chapter 149, 151, or 154 who 2 8 agrees to comply with the terms, conditions, reimbursement 2 9 rates, and standards of quality of the health benefit plan. 2 10 NEW SUBSECTION. 10. A provision that a covered person 2 11 shall have direct access to any participating provider 2 12 licensed pursuant to section 149, 151, or 154, selected by the 2 13 covered person, without prior referral. 2 14 NEW SUBSECTION. 11. A provision that the person issuing 2 15 the policy shall ensure an adequate number of participating 2 16 providers to provide reasonable accessibility, timeliness of 2 17 care, convenience, and continuity of care to the covered 2 18 person. 2 19 Sec. 2. Section 509.3, unnumbered paragraph 2, Code 2003, 2 20 is amended to read as follows: 2 21 In addition to the provisions required in subsections 1 2 22 through711, the commissioner shall require provisions 2 23 through the adoption of rules implementing the federal Health 2 24 Insurance Portability and Accountability Act, Pub. L. No. 104= 2 25 191. 2 26 EXPLANATION 2 27 This bill provides that a policy of group accident or 2 28 health insurance or a combination of these that covers such 2 29 services is to include a provision that if the services are 2 30 provided by a health care provider licensed to be engaged in 2 31 the practice of podiatry, chiropractic, or optometry, and the 2 32 services provided are within the scope of practice of the 2 33 health care provider, the services are to be compensated at 2 34 the same level as equivalent services provided by a provider 2 35 licensed to practice medicine and surgery or osteopathic 3 1 medicine and surgery. The bill provides for deeming of 3 2 services as equivalent based on codes published by the 3 3 American medical association, and for determination of the 3 4 same level of compensation based on the federal Medicare 3 5 resource=based relative value system or an equivalent 3 6 successor coding system. The bill does not prohibit the use 3 7 of a flat fee reimbursement system if the compensation is 3 8 consistent with the compensation parameters established in the 3 9 bill. 3 10 The bill also provides that if a policy accepts a 3 11 participating provider licensed under Code chapter 148 or 3 12 150A, the person issuing the policy is to also accept any 3 13 health care provider licensed to be engaged in the practice of 3 14 podiatry, chiropractic, or optometry who agrees to comply with 3 15 the terms of the health benefit plan. 3 16 Under the bill, a covered person is to have direct access 3 17 to a participating provider licensed to be engaged in the 3 18 practice of podiatry, chiropractic, or optometry rather than 3 19 being subject to prior referral. Additionally, the person 3 20 issuing the policy is to ensure adequate accessibility to 3 21 participating providers. 3 22 LSB 5932XC 80 3 23 pf/sh/8