Full Text of SB0471 102nd General Assembly
SB0471enr 102ND GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning regulation.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Network Adequacy and Transparency Act is | 5 | | amended by changing Section 10 as follows: | 6 | | (215 ILCS 124/10)
| 7 | | Sec. 10. Network adequacy. | 8 | | (a) An insurer providing a network plan shall file a | 9 | | description of all of the following with the Director: | 10 | | (1) The written policies and procedures for adding | 11 | | providers to meet patient needs based on increases in the | 12 | | number of beneficiaries, changes in the | 13 | | patient-to-provider ratio, changes in medical and health | 14 | | care capabilities, and increased demand for services. | 15 | | (2) The written policies and procedures for making | 16 | | referrals within and outside the network. | 17 | | (3) The written policies and procedures on how the | 18 | | network plan will provide 24-hour, 7-day per week access | 19 | | to network-affiliated primary care, emergency services, | 20 | | and woman's principal health care providers. | 21 | | An insurer shall not prohibit a preferred provider from | 22 | | discussing any specific or all treatment options with | 23 | | beneficiaries irrespective of the insurer's position on those |
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| 1 | | treatment options or from advocating on behalf of | 2 | | beneficiaries within the utilization review, grievance, or | 3 | | appeals processes established by the insurer in accordance | 4 | | with any rights or remedies available under applicable State | 5 | | or federal law. | 6 | | (b) Insurers must file for review a description of the | 7 | | services to be offered through a network plan. The description | 8 | | shall include all of the following: | 9 | | (1) A geographic map of the area proposed to be served | 10 | | by the plan by county service area and zip code, including | 11 | | marked locations for preferred providers. | 12 | | (2) As deemed necessary by the Department, the names, | 13 | | addresses, phone numbers, and specialties of the providers | 14 | | who have entered into preferred provider agreements under | 15 | | the network plan. | 16 | | (3) The number of beneficiaries anticipated to be | 17 | | covered by the network plan. | 18 | | (4) An Internet website and toll-free telephone number | 19 | | for beneficiaries and prospective beneficiaries to access | 20 | | current and accurate lists of preferred providers, | 21 | | additional information about the plan, as well as any | 22 | | other information required by Department rule. | 23 | | (5) A description of how health care services to be | 24 | | rendered under the network plan are reasonably accessible | 25 | | and available to beneficiaries. The description shall | 26 | | address all of the following: |
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| 1 | | (A) the type of health care services to be | 2 | | provided by the network plan; | 3 | | (B) the ratio of physicians and other providers to | 4 | | beneficiaries, by specialty and including primary care | 5 | | physicians and facility-based physicians when | 6 | | applicable under the contract, necessary to meet the | 7 | | health care needs and service demands of the currently | 8 | | enrolled population; | 9 | | (C) the travel and distance standards for plan | 10 | | beneficiaries in county service areas; and | 11 | | (D) a description of how the use of telemedicine, | 12 | | telehealth, or mobile care services may be used to | 13 | | partially meet the network adequacy standards, if | 14 | | applicable. | 15 | | (6) A provision ensuring that whenever a beneficiary | 16 | | has made a good faith effort, as evidenced by accessing | 17 | | the provider directory, calling the network plan, and | 18 | | calling the provider, to utilize preferred providers for a | 19 | | covered service and it is determined the insurer does not | 20 | | have the appropriate preferred providers due to | 21 | | insufficient number, type, or unreasonable travel distance | 22 | | or delay, the insurer shall ensure, directly or | 23 | | indirectly, by terms contained in the payer contract, that | 24 | | the beneficiary will be provided the covered service at no | 25 | | greater cost to the beneficiary than if the service had | 26 | | been provided by a preferred provider. This paragraph (6) |
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| 1 | | does not apply to: (A) a beneficiary who willfully chooses | 2 | | to access a non-preferred provider for health care | 3 | | services available through the panel of preferred | 4 | | providers, or (B) a beneficiary enrolled in a health | 5 | | maintenance organization. In these circumstances, the | 6 | | contractual requirements for non-preferred provider | 7 | | reimbursements shall apply. | 8 | | (7) A provision that the beneficiary shall receive | 9 | | emergency care coverage such that payment for this | 10 | | coverage is not dependent upon whether the emergency | 11 | | services are performed by a preferred or non-preferred | 12 | | provider and the coverage shall be at the same benefit | 13 | | level as if the service or treatment had been rendered by a | 14 | | preferred provider. For purposes of this paragraph (7), | 15 | | "the same benefit level" means that the beneficiary is | 16 | | provided the covered service at no greater cost to the | 17 | | beneficiary than if the service had been provided by a | 18 | | preferred provider. | 19 | | (8) A limitation that, if the plan provides that the | 20 | | beneficiary will incur a penalty for failing to | 21 | | pre-certify inpatient hospital treatment, the penalty may | 22 | | not exceed $1,000 per occurrence in addition to the plan | 23 | | cost sharing provisions. | 24 | | (c) The network plan shall demonstrate to the Director a | 25 | | minimum ratio of providers to plan beneficiaries as required | 26 | | by the Department. |
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| 1 | | (1) The ratio of physicians or other providers to plan | 2 | | beneficiaries shall be established annually by the | 3 | | Department in consultation with the Department of Public | 4 | | Health based upon the guidance from the federal Centers | 5 | | for Medicare and Medicaid Services. The Department shall | 6 | | not establish ratios for vision or dental providers who | 7 | | provide services under dental-specific or vision-specific | 8 | | benefits. The Department shall consider establishing | 9 | | ratios for the following physicians or other providers: | 10 | | (A) Primary Care; | 11 | | (B) Pediatrics; | 12 | | (C) Cardiology; | 13 | | (D) Gastroenterology; | 14 | | (E) General Surgery; | 15 | | (F) Neurology; | 16 | | (G) OB/GYN; | 17 | | (H) Oncology/Radiation; | 18 | | (I) Ophthalmology; | 19 | | (J) Urology; | 20 | | (K) Behavioral Health; | 21 | | (L) Allergy/Immunology; | 22 | | (M) Chiropractic; | 23 | | (N) Dermatology; | 24 | | (O) Endocrinology; | 25 | | (P) Ears, Nose, and Throat (ENT)/Otolaryngology; | 26 | | (Q) Infectious Disease; |
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| 1 | | (R) Nephrology; | 2 | | (S) Neurosurgery; | 3 | | (T) Orthopedic Surgery; | 4 | | (U) Physiatry/Rehabilitative; | 5 | | (V) Plastic Surgery; | 6 | | (W) Pulmonary; | 7 | | (X) Rheumatology; | 8 | | (Y) Anesthesiology; | 9 | | (Z) Pain Medicine; | 10 | | (AA) Pediatric Specialty Services; | 11 | | (BB) Outpatient Dialysis; and | 12 | | (CC) HIV. | 13 | | (2) The Director shall establish a process for the | 14 | | review of the adequacy of these standards, along with an | 15 | | assessment of additional specialties to be included in the | 16 | | list under this subsection (c). | 17 | | (d) The network plan shall demonstrate to the Director | 18 | | maximum travel and distance standards for plan beneficiaries, | 19 | | which shall be established annually by the Department in | 20 | | consultation with the Department of Public Health based upon | 21 | | the guidance from the federal Centers for Medicare and | 22 | | Medicaid Services. These standards shall consist of the | 23 | | maximum minutes or miles to be traveled by a plan beneficiary | 24 | | for each county type, such as large counties, metro counties, | 25 | | or rural counties as defined by Department rule. | 26 | | The maximum travel time and distance standards must |
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| 1 | | include standards for each physician and other provider | 2 | | category listed for which ratios have been established. | 3 | | The Director shall establish a process for the review of | 4 | | the adequacy of these standards along with an assessment of | 5 | | additional specialties to be included in the list under this | 6 | | subsection (d). | 7 | | (d-5) (1) Every insurer shall ensure that beneficiaries | 8 | | have timely and proximate access to treatment for mental, | 9 | | emotional, nervous, or substance use disorders or conditions | 10 | | in accordance with the provisions of paragraph (4) of | 11 | | subsection (a) of Section 370c of the Illinois Insurance Code. | 12 | | Insurers shall use a comparable process, strategy, evidentiary | 13 | | standard, and other factors in the development and application | 14 | | of the network adequacy standards for timely and proximate | 15 | | access to treatment for mental, emotional, nervous, or | 16 | | substance use disorders or conditions and those for the access | 17 | | to treatment for medical and surgical conditions. As such, the | 18 | | network adequacy standards for timely and proximate access | 19 | | shall equally be applied to treatment facilities and providers | 20 | | for mental, emotional, nervous, or substance use disorders or | 21 | | conditions and specialists providing medical or surgical | 22 | | benefits pursuant to the parity requirements of Section 370c.1 | 23 | | of the Illinois Insurance Code and the federal Paul Wellstone | 24 | | and Pete Domenici Mental Health Parity and Addiction Equity | 25 | | Act of 2008. Notwithstanding the foregoing, the network | 26 | | adequacy standards for timely and proximate access to |
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| 1 | | treatment for mental, emotional, nervous, or substance use | 2 | | disorders or conditions shall, at a minimum, satisfy the | 3 | | following requirements: | 4 | | (A) For beneficiaries residing in the metropolitan | 5 | | counties of Cook, DuPage, Kane, Lake, McHenry, and | 6 | | Will, network adequacy standards for timely and | 7 | | proximate access to treatment for mental, emotional, | 8 | | nervous, or substance use disorders or conditions | 9 | | means a beneficiary shall not have to travel longer | 10 | | than 30 minutes or 30 miles from the beneficiary's | 11 | | residence to receive outpatient treatment for mental, | 12 | | emotional, nervous, or substance use disorders or | 13 | | conditions. Beneficiaries shall not be required to | 14 | | wait longer than 10 business days between requesting | 15 | | an initial appointment and being seen by the facility | 16 | | or provider of mental, emotional, nervous, or | 17 | | substance use disorders or conditions for outpatient | 18 | | treatment or to wait longer than 20 business days | 19 | | between requesting a repeat or follow-up appointment | 20 | | and being seen by the facility or provider of mental, | 21 | | emotional, nervous, or substance use disorders or | 22 | | conditions for outpatient treatment; however, subject | 23 | | to the protections of paragraph (3) of this | 24 | | subsection, a network plan shall not be held | 25 | | responsible if the beneficiary or provider voluntarily | 26 | | chooses to schedule an appointment outside of these |
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| 1 | | required time frames. | 2 | | (B) For beneficiaries residing in Illinois | 3 | | counties other than those counties listed in | 4 | | subparagraph (A) of this paragraph, network adequacy | 5 | | standards for timely and proximate access to treatment | 6 | | for mental, emotional, nervous, or substance use | 7 | | disorders or conditions means a beneficiary shall not | 8 | | have to travel longer than 60 minutes or 60 miles from | 9 | | the beneficiary's residence to receive outpatient | 10 | | treatment for mental, emotional, nervous, or substance | 11 | | use disorders or conditions. Beneficiaries shall not | 12 | | be required to wait longer than 10 business days | 13 | | between requesting an initial appointment and being | 14 | | seen by the facility or provider of mental, emotional, | 15 | | nervous, or substance use disorders or conditions for | 16 | | outpatient treatment or to wait longer than 20 | 17 | | business days between requesting a repeat or follow-up | 18 | | appointment and being seen by the facility or provider | 19 | | of mental, emotional, nervous, or substance use | 20 | | disorders or conditions for outpatient treatment; | 21 | | however, subject to the protections of paragraph (3) | 22 | | of this subsection, a network plan shall not be held | 23 | | responsible if the beneficiary or provider voluntarily | 24 | | chooses to schedule an appointment outside of these | 25 | | required time frames. | 26 | | (2) For beneficiaries residing in all Illinois |
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| 1 | | counties, network adequacy standards for timely and | 2 | | proximate access to treatment for mental, emotional, | 3 | | nervous, or substance use disorders or conditions means a | 4 | | beneficiary shall not have to travel longer than 60 | 5 | | minutes or 60 miles from the beneficiary's residence to | 6 | | receive inpatient or residential treatment for mental, | 7 | | emotional, nervous, or substance use disorders or | 8 | | conditions. | 9 | | (3) If there is no in-network facility or provider | 10 | | available for a beneficiary to receive timely and | 11 | | proximate access to treatment for mental, emotional, | 12 | | nervous, or substance use disorders or conditions in | 13 | | accordance with the network adequacy standards outlined in | 14 | | this subsection, the insurer shall provide necessary | 15 | | exceptions to its network to ensure admission and | 16 | | treatment with a provider or at a treatment facility in | 17 | | accordance with the network adequacy standards in this | 18 | | subsection. | 19 | | (e) Except for network plans solely offered as a group | 20 | | health plan, these ratio and time and distance standards apply | 21 | | to the lowest cost-sharing tier of any tiered network. | 22 | | (f) The network plan may consider use of other health care | 23 | | service delivery options, such as telemedicine or telehealth, | 24 | | mobile clinics, and centers of excellence, or other ways of | 25 | | delivering care to partially meet the requirements set under | 26 | | this Section. |
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| 1 | | (g) Except for the requirements set forth in subsection | 2 | | (d-5), insurers Insurers who are not able to comply with the | 3 | | provider ratios and time and distance standards established by | 4 | | the Department may request an exception to these requirements | 5 | | from the Department. The Department may grant an exception in | 6 | | the following circumstances: | 7 | | (1) if no providers or facilities meet the specific | 8 | | time and distance standard in a specific service area and | 9 | | the insurer (i) discloses information on the distance and | 10 | | travel time points that beneficiaries would have to travel | 11 | | beyond the required criterion to reach the next closest | 12 | | contracted provider outside of the service area and (ii) | 13 | | provides contact information, including names, addresses, | 14 | | and phone numbers for the next closest contracted provider | 15 | | or facility; | 16 | | (2) if patterns of care in the service area do not | 17 | | support the need for the requested number of provider or | 18 | | facility type and the insurer provides data on local | 19 | | patterns of care, such as claims data, referral patterns, | 20 | | or local provider interviews, indicating where the | 21 | | beneficiaries currently seek this type of care or where | 22 | | the physicians currently refer beneficiaries, or both; or | 23 | | (3) other circumstances deemed appropriate by the | 24 | | Department consistent with the requirements of this Act. | 25 | | (h) Insurers are required to report to the Director any | 26 | | material change to an approved network plan within 15 days |
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| 1 | | after the change occurs and any change that would result in | 2 | | failure to meet the requirements of this Act. Upon notice from | 3 | | the insurer, the Director shall reevaluate the network plan's | 4 | | compliance with the network adequacy and transparency | 5 | | standards of this Act.
| 6 | | (Source: P.A. 100-502, eff. 9-15-17; 100-601, eff. 6-29-18.) | 7 | | Section 10. The Illinois Public Aid Code is amended by | 8 | | changing Sections 5-16.8 and 5-30.1 as follows:
| 9 | | (305 ILCS 5/5-16.8)
| 10 | | Sec. 5-16.8. Required health benefits. The medical | 11 | | assistance program
shall
(i) provide the post-mastectomy care | 12 | | benefits required to be covered by a policy of
accident and | 13 | | health insurance under Section 356t and the coverage required
| 14 | | under Sections 356g.5, 356u, 356w, 356x, 356z.6, 356z.26, | 15 | | 356z.29, 356z.32, 356z.33, 356z.34, and 356z.35 of the | 16 | | Illinois
Insurance Code , and (ii) be subject to the provisions | 17 | | of Sections 356z.19, 364.01, 370c, and 370c.1 of the Illinois
| 18 | | Insurance Code , and (iii) be subject to the provisions of | 19 | | subsection (d-5) of Section 10 of the Network Adequacy and | 20 | | Transparency Act .
| 21 | | The Department, by rule, shall adopt a model similar to | 22 | | the requirements of Section 356z.39 of the Illinois Insurance | 23 | | Code. | 24 | | On and after July 1, 2012, the Department shall reduce any |
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| 1 | | rate of reimbursement for services or other payments or alter | 2 | | any methodologies authorized by this Code to reduce any rate | 3 | | of reimbursement for services or other payments in accordance | 4 | | with Section 5-5e. | 5 | | To ensure full access to the benefits set forth in this | 6 | | Section, on and after January 1, 2016, the Department shall | 7 | | ensure that provider and hospital reimbursement for | 8 | | post-mastectomy care benefits required under this Section are | 9 | | no lower than the Medicare reimbursement rate. | 10 | | (Source: P.A. 100-138, eff. 8-18-17; 100-863, eff. 8-14-18; | 11 | | 100-1057, eff. 1-1-19; 100-1102, eff. 1-1-19; 101-81, eff. | 12 | | 7-12-19; 101-218, eff. 1-1-20; 101-281, eff. 1-1-20; 101-371, | 13 | | eff. 1-1-20; 101-574, eff. 1-1-20; 101-649, eff. 7-7-20.)
| 14 | | (305 ILCS 5/5-30.1) | 15 | | Sec. 5-30.1. Managed care protections. | 16 | | (a) As used in this Section: | 17 | | "Managed care organization" or "MCO" means any entity | 18 | | which contracts with the Department to provide services where | 19 | | payment for medical services is made on a capitated basis. | 20 | | "Emergency services" include: | 21 | | (1) emergency services, as defined by Section 10 of | 22 | | the Managed Care Reform and Patient Rights Act; | 23 | | (2) emergency medical screening examinations, as | 24 | | defined by Section 10 of the Managed Care Reform and | 25 | | Patient Rights Act; |
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| 1 | | (3) post-stabilization medical services, as defined by | 2 | | Section 10 of the Managed Care Reform and Patient Rights | 3 | | Act; and | 4 | | (4) emergency medical conditions, as defined by
| 5 | | Section 10 of the Managed Care Reform and Patient Rights
| 6 | | Act. | 7 | | (b) As provided by Section 5-16.12, managed care | 8 | | organizations are subject to the provisions of the Managed | 9 | | Care Reform and Patient Rights Act. | 10 | | (c) An MCO shall pay any provider of emergency services | 11 | | that does not have in effect a contract with the contracted | 12 | | Medicaid MCO. The default rate of reimbursement shall be the | 13 | | rate paid under Illinois Medicaid fee-for-service program | 14 | | methodology, including all policy adjusters, including but not | 15 | | limited to Medicaid High Volume Adjustments, Medicaid | 16 | | Percentage Adjustments, Outpatient High Volume Adjustments, | 17 | | and all outlier add-on adjustments to the extent such | 18 | | adjustments are incorporated in the development of the | 19 | | applicable MCO capitated rates. | 20 | | (d) An MCO shall pay for all post-stabilization services | 21 | | as a covered service in any of the following situations: | 22 | | (1) the MCO authorized such services; | 23 | | (2) such services were administered to maintain the | 24 | | enrollee's stabilized condition within one hour after a | 25 | | request to the MCO for authorization of further | 26 | | post-stabilization services; |
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| 1 | | (3) the MCO did not respond to a request to authorize | 2 | | such services within one hour; | 3 | | (4) the MCO could not be contacted; or | 4 | | (5) the MCO and the treating provider, if the treating | 5 | | provider is a non-affiliated provider, could not reach an | 6 | | agreement concerning the enrollee's care and an affiliated | 7 | | provider was unavailable for a consultation, in which case | 8 | | the MCO
must pay for such services rendered by the | 9 | | treating non-affiliated provider until an affiliated | 10 | | provider was reached and either concurred with the | 11 | | treating non-affiliated provider's plan of care or assumed | 12 | | responsibility for the enrollee's care. Such payment shall | 13 | | be made at the default rate of reimbursement paid under | 14 | | Illinois Medicaid fee-for-service program methodology, | 15 | | including all policy adjusters, including but not limited | 16 | | to Medicaid High Volume Adjustments, Medicaid Percentage | 17 | | Adjustments, Outpatient High Volume Adjustments and all | 18 | | outlier add-on adjustments to the extent that such | 19 | | adjustments are incorporated in the development of the | 20 | | applicable MCO capitated rates. | 21 | | (e) The following requirements apply to MCOs in | 22 | | determining payment for all emergency services: | 23 | | (1) MCOs shall not impose any requirements for prior | 24 | | approval of emergency services. | 25 | | (2) The MCO shall cover emergency services provided to | 26 | | enrollees who are temporarily away from their residence |
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| 1 | | and outside the contracting area to the extent that the | 2 | | enrollees would be entitled to the emergency services if | 3 | | they still were within the contracting area. | 4 | | (3) The MCO shall have no obligation to cover medical | 5 | | services provided on an emergency basis that are not | 6 | | covered services under the contract. | 7 | | (4) The MCO shall not condition coverage for emergency | 8 | | services on the treating provider notifying the MCO of the | 9 | | enrollee's screening and treatment within 10 days after | 10 | | presentation for emergency services. | 11 | | (5) The determination of the attending emergency | 12 | | physician, or the provider actually treating the enrollee, | 13 | | of whether an enrollee is sufficiently stabilized for | 14 | | discharge or transfer to another facility, shall be | 15 | | binding on the MCO. The MCO shall cover emergency services | 16 | | for all enrollees whether the emergency services are | 17 | | provided by an affiliated or non-affiliated provider. | 18 | | (6) The MCO's financial responsibility for | 19 | | post-stabilization care services it has not pre-approved | 20 | | ends when: | 21 | | (A) a plan physician with privileges at the | 22 | | treating hospital assumes responsibility for the | 23 | | enrollee's care; | 24 | | (B) a plan physician assumes responsibility for | 25 | | the enrollee's care through transfer; | 26 | | (C) a contracting entity representative and the |
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| 1 | | treating physician reach an agreement concerning the | 2 | | enrollee's care; or | 3 | | (D) the enrollee is discharged. | 4 | | (f) Network adequacy and transparency. | 5 | | (1) The Department shall: | 6 | | (A) ensure that an adequate provider network is in | 7 | | place, taking into consideration health professional | 8 | | shortage areas and medically underserved areas; | 9 | | (B) publicly release an explanation of its process | 10 | | for analyzing network adequacy; | 11 | | (C) periodically ensure that an MCO continues to | 12 | | have an adequate network in place; and | 13 | | (D) require MCOs, including Medicaid Managed Care | 14 | | Entities as defined in Section 5-30.2, to meet | 15 | | provider directory requirements under Section 5-30.3 ; | 16 | | and . | 17 | | (E) require MCOs, including Medicaid Managed Care | 18 | | Entities as defined in Section 5-30.2, to meet each of | 19 | | the requirements under subsection (d-5) of Section 10 | 20 | | of the Network Adequacy and Transparency Act; with | 21 | | necessary exceptions to the MCO's network to ensure | 22 | | that admission and treatment with a provider or at a | 23 | | treatment facility in accordance with the network | 24 | | adequacy standards in paragraph (3) of subsection | 25 | | (d-5) of Section 10 of the Network Adequacy and | 26 | | Transparency Act is limited to providers or facilities |
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| 1 | | that are Medicaid certified. | 2 | | (2) Each MCO shall confirm its receipt of information | 3 | | submitted specific to physician or dentist additions or | 4 | | physician or dentist deletions from the MCO's provider | 5 | | network within 3 days after receiving all required | 6 | | information from contracted physicians or dentists, and | 7 | | electronic physician and dental directories must be | 8 | | updated consistent with current rules as published by the | 9 | | Centers for Medicare and Medicaid Services or its | 10 | | successor agency. | 11 | | (g) Timely payment of claims. | 12 | | (1) The MCO shall pay a claim within 30 days of | 13 | | receiving a claim that contains all the essential | 14 | | information needed to adjudicate the claim. | 15 | | (2) The MCO shall notify the billing party of its | 16 | | inability to adjudicate a claim within 30 days of | 17 | | receiving that claim. | 18 | | (3) The MCO shall pay a penalty that is at least equal | 19 | | to the timely payment interest penalty imposed under | 20 | | Section 368a of the Illinois Insurance Code for any claims | 21 | | not timely paid. | 22 | | (A) When an MCO is required to pay a timely payment | 23 | | interest penalty to a provider, the MCO must calculate | 24 | | and pay the timely payment interest penalty that is | 25 | | due to the provider within 30 days after the payment of | 26 | | the claim. In no event shall a provider be required to |
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| 1 | | request or apply for payment of any owed timely | 2 | | payment interest penalties. | 3 | | (B) Such payments shall be reported separately | 4 | | from the claim payment for services rendered to the | 5 | | MCO's enrollee and clearly identified as interest | 6 | | payments. | 7 | | (4)(A) The Department shall require MCOs to expedite | 8 | | payments to providers identified on the Department's | 9 | | expedited provider list, determined in accordance with 89 | 10 | | Ill. Adm. Code 140.71(b), on a schedule at least as | 11 | | frequently as the providers are paid under the | 12 | | Department's fee-for-service expedited provider schedule. | 13 | | (B) Compliance with the expedited provider requirement | 14 | | may be satisfied by an MCO through the use of a Periodic | 15 | | Interim Payment (PIP) program that has been mutually | 16 | | agreed to and documented between the MCO and the provider, | 17 | | and the PIP program ensures that any expedited provider | 18 | | receives regular and periodic payments based on prior | 19 | | period payment experience from that MCO. Total payments | 20 | | under the PIP program may be reconciled against future PIP | 21 | | payments on a schedule mutually agreed to between the MCO | 22 | | and the provider. | 23 | | (C) The Department shall share at least monthly its | 24 | | expedited provider list and the frequency with which it | 25 | | pays providers on the expedited list. | 26 | | (g-5) Recognizing that the rapid transformation of the |
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| 1 | | Illinois Medicaid program may have unintended operational | 2 | | challenges for both payers and providers: | 3 | | (1) in no instance shall a medically necessary covered | 4 | | service rendered in good faith, based upon eligibility | 5 | | information documented by the provider, be denied coverage | 6 | | or diminished in payment amount if the eligibility or | 7 | | coverage information available at the time the service was | 8 | | rendered is later found to be inaccurate in the assignment | 9 | | of coverage responsibility between MCOs or the | 10 | | fee-for-service system, except for instances when an | 11 | | individual is deemed to have not been eligible for | 12 | | coverage under the Illinois Medicaid program; and | 13 | | (2) the Department shall, by December 31, 2016, adopt | 14 | | rules establishing policies that shall be included in the | 15 | | Medicaid managed care policy and procedures manual | 16 | | addressing payment resolutions in situations in which a | 17 | | provider renders services based upon information obtained | 18 | | after verifying a patient's eligibility and coverage plan | 19 | | through either the Department's current enrollment system | 20 | | or a system operated by the coverage plan identified by | 21 | | the patient presenting for services: | 22 | | (A) such medically necessary covered services | 23 | | shall be considered rendered in good faith; | 24 | | (B) such policies and procedures shall be | 25 | | developed in consultation with industry | 26 | | representatives of the Medicaid managed care health |
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| 1 | | plans and representatives of provider associations | 2 | | representing the majority of providers within the | 3 | | identified provider industry; and | 4 | | (C) such rules shall be published for a review and | 5 | | comment period of no less than 30 days on the | 6 | | Department's website with final rules remaining | 7 | | available on the Department's website. | 8 | | The rules on payment resolutions shall include, but not be | 9 | | limited to: | 10 | | (A) the extension of the timely filing period; | 11 | | (B) retroactive prior authorizations; and | 12 | | (C) guaranteed minimum payment rate of no less than | 13 | | the current, as of the date of service, fee-for-service | 14 | | rate, plus all applicable add-ons, when the resulting | 15 | | service relationship is out of network. | 16 | | The rules shall be applicable for both MCO coverage and | 17 | | fee-for-service coverage. | 18 | | If the fee-for-service system is ultimately determined to | 19 | | have been responsible for coverage on the date of service, the | 20 | | Department shall provide for an extended period for claims | 21 | | submission outside the standard timely filing requirements. | 22 | | (g-6) MCO Performance Metrics Report. | 23 | | (1) The Department shall publish, on at least a | 24 | | quarterly basis, each MCO's operational performance, | 25 | | including, but not limited to, the following categories of | 26 | | metrics: |
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| 1 | | (A) claims payment, including timeliness and | 2 | | accuracy; | 3 | | (B) prior authorizations; | 4 | | (C) grievance and appeals; | 5 | | (D) utilization statistics; | 6 | | (E) provider disputes; | 7 | | (F) provider credentialing; and | 8 | | (G) member and provider customer service. | 9 | | (2) The Department shall ensure that the metrics | 10 | | report is accessible to providers online by January 1, | 11 | | 2017. | 12 | | (3) The metrics shall be developed in consultation | 13 | | with industry representatives of the Medicaid managed care | 14 | | health plans and representatives of associations | 15 | | representing the majority of providers within the | 16 | | identified industry. | 17 | | (4) Metrics shall be defined and incorporated into the | 18 | | applicable Managed Care Policy Manual issued by the | 19 | | Department. | 20 | | (g-7) MCO claims processing and performance analysis. In | 21 | | order to monitor MCO payments to hospital providers, pursuant | 22 | | to this amendatory Act of the 100th General Assembly, the | 23 | | Department shall post an analysis of MCO claims processing and | 24 | | payment performance on its website every 6 months. Such | 25 | | analysis shall include a review and evaluation of a | 26 | | representative sample of hospital claims that are rejected and |
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| 1 | | denied for clean and unclean claims and the top 5 reasons for | 2 | | such actions and timeliness of claims adjudication, which | 3 | | identifies the percentage of claims adjudicated within 30, 60, | 4 | | 90, and over 90 days, and the dollar amounts associated with | 5 | | those claims. The Department shall post the contracted claims | 6 | | report required by HealthChoice Illinois on its website every | 7 | | 3 months. | 8 | | (g-8) Dispute resolution process. The Department shall | 9 | | maintain a provider complaint portal through which a provider | 10 | | can submit to the Department unresolved disputes with an MCO. | 11 | | An unresolved dispute means an MCO's decision that denies in | 12 | | whole or in part a claim for reimbursement to a provider for | 13 | | health care services rendered by the provider to an enrollee | 14 | | of the MCO with which the provider disagrees. Disputes shall | 15 | | not be submitted to the portal until the provider has availed | 16 | | itself of the MCO's internal dispute resolution process. | 17 | | Disputes that are submitted to the MCO internal dispute | 18 | | resolution process may be submitted to the Department of | 19 | | Healthcare and Family Services' complaint portal no sooner | 20 | | than 30 days after submitting to the MCO's internal process | 21 | | and not later than 30 days after the unsatisfactory resolution | 22 | | of the internal MCO process or 60 days after submitting the | 23 | | dispute to the MCO internal process. Multiple claim disputes | 24 | | involving the same MCO may be submitted in one complaint, | 25 | | regardless of whether the claims are for different enrollees, | 26 | | when the specific reason for non-payment of the claims |
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| 1 | | involves a common question of fact or policy. Within 10 | 2 | | business days of receipt of a complaint, the Department shall | 3 | | present such disputes to the appropriate MCO, which shall then | 4 | | have 30 days to issue its written proposal to resolve the | 5 | | dispute. The Department may grant one 30-day extension of this | 6 | | time frame to one of the parties to resolve the dispute. If the | 7 | | dispute remains unresolved at the end of this time frame or the | 8 | | provider is not satisfied with the MCO's written proposal to | 9 | | resolve the dispute, the provider may, within 30 days, request | 10 | | the Department to review the dispute and make a final | 11 | | determination. Within 30 days of the request for Department | 12 | | review of the dispute, both the provider and the MCO shall | 13 | | present all relevant information to the Department for | 14 | | resolution and make individuals with knowledge of the issues | 15 | | available to the Department for further inquiry if needed. | 16 | | Within 30 days of receiving the relevant information on the | 17 | | dispute, or the lapse of the period for submitting such | 18 | | information, the Department shall issue a written decision on | 19 | | the dispute based on contractual terms between the provider | 20 | | and the MCO, contractual terms between the MCO and the | 21 | | Department of Healthcare and Family Services and applicable | 22 | | Medicaid policy. The decision of the Department shall be | 23 | | final. By January 1, 2020, the Department shall establish by | 24 | | rule further details of this dispute resolution process. | 25 | | Disputes between MCOs and providers presented to the | 26 | | Department for resolution are not contested cases, as defined |
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| 1 | | in Section 1-30 of the Illinois Administrative Procedure Act, | 2 | | conferring any right to an administrative hearing. | 3 | | (g-9)(1) The Department shall publish annually on its | 4 | | website a report on the calculation of each managed care | 5 | | organization's medical loss ratio showing the following: | 6 | | (A) Premium revenue, with appropriate adjustments. | 7 | | (B) Benefit expense, setting forth the aggregate | 8 | | amount spent for the following: | 9 | | (i) Direct paid claims. | 10 | | (ii) Subcapitation payments. | 11 | | (iii)
Other claim payments. | 12 | | (iv)
Direct reserves. | 13 | | (v)
Gross recoveries. | 14 | | (vi)
Expenses for activities that improve health | 15 | | care quality as allowed by the Department. | 16 | | (2) The medical loss ratio shall be calculated consistent | 17 | | with federal law and regulation following a claims runout | 18 | | period determined by the Department. | 19 | | (g-10)(1) "Liability effective date" means the date on | 20 | | which an MCO becomes responsible for payment for medically | 21 | | necessary and covered services rendered by a provider to one | 22 | | of its enrollees in accordance with the contract terms between | 23 | | the MCO and the provider. The liability effective date shall | 24 | | be the later of: | 25 | | (A) The execution date of a network participation | 26 | | contract agreement. |
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| 1 | | (B) The date the provider or its representative | 2 | | submits to the MCO the complete and accurate standardized | 3 | | roster form for the provider in the format approved by the | 4 | | Department. | 5 | | (C) The provider effective date contained within the | 6 | | Department's provider enrollment subsystem within the | 7 | | Illinois Medicaid Program Advanced Cloud Technology | 8 | | (IMPACT) System. | 9 | | (2) The standardized roster form may be submitted to the | 10 | | MCO at the same time that the provider submits an enrollment | 11 | | application to the Department through IMPACT. | 12 | | (3) By October 1, 2019, the Department shall require all | 13 | | MCOs to update their provider directory with information for | 14 | | new practitioners of existing contracted providers within 30 | 15 | | days of receipt of a complete and accurate standardized roster | 16 | | template in the format approved by the Department provided | 17 | | that the provider is effective in the Department's provider | 18 | | enrollment subsystem within the IMPACT system. Such provider | 19 | | directory shall be readily accessible for purposes of | 20 | | selecting an approved health care provider and comply with all | 21 | | other federal and State requirements. | 22 | | (g-11) The Department shall work with relevant | 23 | | stakeholders on the development of operational guidelines to | 24 | | enhance and improve operational performance of Illinois' | 25 | | Medicaid managed care program, including, but not limited to, | 26 | | improving provider billing practices, reducing claim |
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| 1 | | rejections and inappropriate payment denials, and | 2 | | standardizing processes, procedures, definitions, and response | 3 | | timelines, with the goal of reducing provider and MCO | 4 | | administrative burdens and conflict. The Department shall | 5 | | include a report on the progress of these program improvements | 6 | | and other topics in its Fiscal Year 2020 annual report to the | 7 | | General Assembly. | 8 | | (h) The Department shall not expand mandatory MCO | 9 | | enrollment into new counties beyond those counties already | 10 | | designated by the Department as of June 1, 2014 for the | 11 | | individuals whose eligibility for medical assistance is not | 12 | | the seniors or people with disabilities population until the | 13 | | Department provides an opportunity for accountable care | 14 | | entities and MCOs to participate in such newly designated | 15 | | counties. | 16 | | (i) The requirements of this Section apply to contracts | 17 | | with accountable care entities and MCOs entered into, amended, | 18 | | or renewed after June 16, 2014 (the effective date of Public | 19 | | Act 98-651).
| 20 | | (j) Health care information released to managed care | 21 | | organizations. A health care provider shall release to a | 22 | | Medicaid managed care organization, upon request, and subject | 23 | | to the Health Insurance Portability and Accountability Act of | 24 | | 1996 and any other law applicable to the release of health | 25 | | information, the health care information of the MCO's | 26 | | enrollee, if the enrollee has completed and signed a general |
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| 1 | | release form that grants to the health care provider | 2 | | permission to release the recipient's health care information | 3 | | to the recipient's insurance carrier. | 4 | | (Source: P.A. 100-201, eff. 8-18-17; 100-580, eff. 3-12-18; | 5 | | 100-587, eff. 6-4-18; 101-209, eff. 8-5-19.)
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