100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
SB0634

 

Introduced 1/25/2017, by Sen. Scott M. Bennett

 

SYNOPSIS AS INTRODUCED:
 
5 ILCS 375/6.12a new

    Amends the State Employees Group Insurance Act of 1971. Provides that the failure of the State of Illinois to adequately reimburse a dental provider for a period of 6 months from the date a claim was submitted may be considered by the provider to be a material breach of any associated participating provider contract utilized by the State for its employees. Provides that a dental provider who has an existing contract that provides services to State employees under this Act and who has not received timely reimbursement for services for a period of 6 months: (1) may consider the associated provider contract null and void for the State of Illinois; (2) may opt out of the obligation to provide services under the terms and conditions of the associated provider contract without penalty by the State or the administrator of the dental plan including any provision that allows for termination from any other commercial plans administered by the dental insurer without cause; and (3) shall, upon providing notice, be deemed an out-of-network provider from that time forward. Effective immediately.


LRB100 05383 RJF 15394 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB0634LRB100 05383 RJF 15394 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Employees Group Insurance Act of 1971
5is amended by adding Section 6.12a as follows:
 
6    (5 ILCS 375/6.12a new)
7    Sec. 6.12a. Nullification of in-network dental provider
8contracts. The failure of the State of Illinois to adequately
9reimburse a dental provider for a period of 6 months from the
10date a claim was submitted may be considered by the provider to
11be a material breach of any associated participating provider
12contract utilized by the State for its employees.
13Notwithstanding the provisions of Section 6.12, a dental
14provider who has an existing contract that provides services to
15State employees under this Act and who has not received timely
16reimbursement for services for a period of 6 months: (1) may
17consider the associated provider contract null and void for the
18State of Illinois; (2) may opt out of the obligation to provide
19services under the terms and conditions of the associated
20provider contract without penalty by the State or the
21administrator of the dental plan including any provision that
22allows for termination from any other commercial plans
23administered by the dental insurer without cause; and (3)

 

 

SB0634- 2 -LRB100 05383 RJF 15394 b

1shall, upon providing notice to the Department, be deemed an
2out-of-network provider from that time forward.
 
3    Section 99. Effective date. This Act takes effect upon
4becoming law.