Full Text of SB0471 102nd General Assembly
SB0471sam001 102ND GENERAL ASSEMBLY | Sen. Laura Fine Filed: 4/6/2021
| | 10200SB0471sam001 | | LRB102 09983 BMS 24397 a |
|
| 1 | | AMENDMENT TO SENATE BILL 471
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 471 by replacing | 3 | | everything after the enacting clause with the following:
| 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. |
| | | 10200SB0471sam001 | - 2 - | LRB102 09983 BMS 24397 a |
|
| 1 | | (3) The written policies and procedures on how the | 2 | | network plan will provide 24-hour, 7-day per week access | 3 | | to network-affiliated primary care, emergency services, | 4 | | and woman's principal health care providers. | 5 | | An insurer shall not prohibit a preferred provider from | 6 | | discussing any specific or all treatment options with | 7 | | beneficiaries irrespective of the insurer's position on those | 8 | | treatment options or from advocating on behalf of | 9 | | beneficiaries within the utilization review, grievance, or | 10 | | appeals processes established by the insurer in accordance | 11 | | with any rights or remedies available under applicable State | 12 | | or federal law. | 13 | | (b) Insurers must file for review a description of the | 14 | | services to be offered through a network plan. The description | 15 | | shall include all of the following: | 16 | | (1) A geographic map of the area proposed to be served | 17 | | by the plan by county service area and zip code, including | 18 | | marked locations for preferred providers. | 19 | | (2) As deemed necessary by the Department, the names, | 20 | | addresses, phone numbers, and specialties of the providers | 21 | | who have entered into preferred provider agreements under | 22 | | the network plan. | 23 | | (3) The number of beneficiaries anticipated to be | 24 | | covered by the network plan. | 25 | | (4) An Internet website and toll-free telephone number | 26 | | for beneficiaries and prospective beneficiaries to access |
| | | 10200SB0471sam001 | - 3 - | LRB102 09983 BMS 24397 a |
|
| 1 | | current and accurate lists of preferred providers, | 2 | | additional information about the plan, as well as any | 3 | | other information required by Department rule. | 4 | | (5) A description of how health care services to be | 5 | | rendered under the network plan are reasonably accessible | 6 | | and available to beneficiaries. The description shall | 7 | | address all of the following: | 8 | | (A) the type of health care services to be | 9 | | provided by the network plan; | 10 | | (B) the ratio of physicians and other providers to | 11 | | beneficiaries, by specialty and including primary care | 12 | | physicians and facility-based physicians when | 13 | | applicable under the contract, necessary to meet the | 14 | | health care needs and service demands of the currently | 15 | | enrolled population; | 16 | | (C) the travel and distance standards for plan | 17 | | beneficiaries in county service areas; and | 18 | | (D) a description of how the use of telemedicine, | 19 | | telehealth, or mobile care services may be used to | 20 | | partially meet the network adequacy standards, if | 21 | | applicable. | 22 | | (6) A provision ensuring that whenever a beneficiary | 23 | | has made a good faith effort, as evidenced by accessing | 24 | | the provider directory, calling the network plan, and | 25 | | calling the provider, to utilize preferred providers for a | 26 | | covered service and it is determined the insurer does not |
| | | 10200SB0471sam001 | - 4 - | LRB102 09983 BMS 24397 a |
|
| 1 | | have the appropriate preferred providers due to | 2 | | insufficient number, type, or unreasonable travel distance | 3 | | or delay, the insurer shall ensure, directly or | 4 | | indirectly, by terms contained in the payer contract, that | 5 | | the beneficiary will be provided the covered service at no | 6 | | greater cost to the beneficiary than if the service had | 7 | | been provided by a preferred provider. This paragraph (6) | 8 | | does not apply to: (A) a beneficiary who willfully chooses | 9 | | to access a non-preferred provider for health care | 10 | | services available through the panel of preferred | 11 | | providers, or (B) a beneficiary enrolled in a health | 12 | | maintenance organization. In these circumstances, the | 13 | | contractual requirements for non-preferred provider | 14 | | reimbursements shall apply. | 15 | | (7) A provision that the beneficiary shall receive | 16 | | emergency care coverage such that payment for this | 17 | | coverage is not dependent upon whether the emergency | 18 | | services are performed by a preferred or non-preferred | 19 | | provider and the coverage shall be at the same benefit | 20 | | level as if the service or treatment had been rendered by a | 21 | | preferred provider. For purposes of this paragraph (7), | 22 | | "the same benefit level" means that the beneficiary is | 23 | | provided the covered service at no greater cost to the | 24 | | beneficiary than if the service had been provided by a | 25 | | preferred provider. | 26 | | (8) A limitation that, if the plan provides that the |
| | | 10200SB0471sam001 | - 5 - | LRB102 09983 BMS 24397 a |
|
| 1 | | beneficiary will incur a penalty for failing to | 2 | | pre-certify inpatient hospital treatment, the penalty may | 3 | | not exceed $1,000 per occurrence in addition to the plan | 4 | | cost sharing provisions. | 5 | | (c) The network plan shall demonstrate to the Director a | 6 | | minimum ratio of providers to plan beneficiaries as required | 7 | | by the Department. | 8 | | (1) The ratio of physicians or other providers to plan | 9 | | beneficiaries shall be established annually by the | 10 | | Department in consultation with the Department of Public | 11 | | Health based upon the guidance from the federal Centers | 12 | | for Medicare and Medicaid Services. The Department shall | 13 | | not establish ratios for vision or dental providers who | 14 | | provide services under dental-specific or vision-specific | 15 | | benefits. The Department shall consider establishing | 16 | | ratios for the following physicians or other providers: | 17 | | (A) Primary Care; | 18 | | (B) Pediatrics; | 19 | | (C) Cardiology; | 20 | | (D) Gastroenterology; | 21 | | (E) General Surgery; | 22 | | (F) Neurology; | 23 | | (G) OB/GYN; | 24 | | (H) Oncology/Radiation; | 25 | | (I) Ophthalmology; | 26 | | (J) Urology; |
| | | 10200SB0471sam001 | - 6 - | LRB102 09983 BMS 24397 a |
|
| 1 | | (K) Behavioral Health; | 2 | | (L) Allergy/Immunology; | 3 | | (M) Chiropractic; | 4 | | (N) Dermatology; | 5 | | (O) Endocrinology; | 6 | | (P) Ears, Nose, and Throat (ENT)/Otolaryngology; | 7 | | (Q) Infectious Disease; | 8 | | (R) Nephrology; | 9 | | (S) Neurosurgery; | 10 | | (T) Orthopedic Surgery; | 11 | | (U) Physiatry/Rehabilitative; | 12 | | (V) Plastic Surgery; | 13 | | (W) Pulmonary; | 14 | | (X) Rheumatology; | 15 | | (Y) Anesthesiology; | 16 | | (Z) Pain Medicine; | 17 | | (AA) Pediatric Specialty Services; | 18 | | (BB) Outpatient Dialysis; and | 19 | | (CC) HIV. | 20 | | (2) The Director shall establish a process for the | 21 | | review of the adequacy of these standards, along with an | 22 | | assessment of additional specialties to be included in the | 23 | | list under this subsection (c). | 24 | | (d) The network plan shall demonstrate to the Director | 25 | | maximum travel and distance standards for plan beneficiaries, | 26 | | which shall be established annually by the Department in |
| | | 10200SB0471sam001 | - 7 - | LRB102 09983 BMS 24397 a |
|
| 1 | | consultation with the Department of Public Health based upon | 2 | | the guidance from the federal Centers for Medicare and | 3 | | Medicaid Services. These standards shall consist of the | 4 | | maximum minutes or miles to be traveled by a plan beneficiary | 5 | | for each county type, such as large counties, metro counties, | 6 | | or rural counties as defined by Department rule. | 7 | | The maximum travel time and distance standards must | 8 | | include standards for each physician and other provider | 9 | | category listed for which ratios have been established. | 10 | | The Director shall establish a process for the review of | 11 | | the adequacy of these standards along with an assessment of | 12 | | additional specialties to be included in the list under this | 13 | | subsection (d). | 14 | | (d-5) (1) Every insurer shall ensure that beneficiaries | 15 | | have timely and proximate access to treatment for mental, | 16 | | emotional, nervous, or substance use disorders or conditions | 17 | | in accordance with the provisions of paragraph (4) of | 18 | | subsection (a) of Section 370c of the Illinois Insurance Code. | 19 | | Insurers shall use a comparable process, strategy, evidentiary | 20 | | standard, and other factors in the development and application | 21 | | of the network adequacy standards for timely and proximate | 22 | | access to treatment for mental, emotional, nervous, or | 23 | | substance use disorders or conditions and those for the access | 24 | | to treatment for medical and surgical conditions. As such, the | 25 | | network adequacy standards for timely and proximate access | 26 | | shall equally be applied to treatment facilities and providers |
| | | 10200SB0471sam001 | - 8 - | LRB102 09983 BMS 24397 a |
|
| 1 | | for mental, emotional, nervous, or substance use disorders or | 2 | | conditions and specialists providing medical or surgical | 3 | | benefits pursuant to the parity requirements of Section 370c.1 | 4 | | of the Illinois Insurance Code and the federal Paul Wellstone | 5 | | and Pete Domenici Mental Health Parity and Addiction Equity | 6 | | Act of 2008. Notwithstanding the foregoing, the network | 7 | | adequacy standards for timely and proximate access to | 8 | | treatment for mental, emotional, nervous, or substance use | 9 | | disorders or conditions shall, at a minimum, satisfy the | 10 | | following requirements: | 11 | | (A) For beneficiaries residing in the metropolitan | 12 | | counties of Cook, DuPage, Kane, Lake, McHenry, and | 13 | | Will, network adequacy standards for timely and | 14 | | proximate access to treatment for mental, emotional, | 15 | | nervous, or substance use disorders or conditions | 16 | | means a beneficiary shall not have to travel longer | 17 | | than 30 minutes or 30 miles from the beneficiary's | 18 | | residence to receive outpatient treatment for mental, | 19 | | emotional, nervous, or substance use disorders or | 20 | | conditions. Beneficiaries shall not be required to | 21 | | wait longer than 10 business days between requesting | 22 | | an initial appointment and being seen by the facility | 23 | | or provider of mental, emotional, nervous, or | 24 | | substance use disorders or conditions for outpatient | 25 | | treatment or to wait longer than 20 business days | 26 | | between requesting a repeat or follow-up appointment |
| | | 10200SB0471sam001 | - 9 - | LRB102 09983 BMS 24397 a |
|
| 1 | | and being seen by the facility or provider of mental, | 2 | | emotional, nervous, or substance use disorders or | 3 | | conditions for outpatient treatment; however, subject | 4 | | to the protections of paragraph (3) of this | 5 | | subsection, a network plan shall not be held | 6 | | responsible if the beneficiary or provider voluntarily | 7 | | chooses to schedule an appointment outside of these | 8 | | required time frames. | 9 | | (B) For beneficiaries residing in Illinois | 10 | | counties other than those counties listed in | 11 | | subparagraph (A) of this paragraph, network adequacy | 12 | | standards for timely and proximate access to treatment | 13 | | for mental, emotional, nervous, or substance use | 14 | | disorders or conditions means a beneficiary shall not | 15 | | have to travel longer than 60 minutes or 60 miles from | 16 | | the beneficiary's residence to receive outpatient | 17 | | treatment for mental, emotional, nervous, or substance | 18 | | use disorders or conditions. Beneficiaries shall not | 19 | | be required to wait longer than 10 business days | 20 | | between requesting an initial appointment and being | 21 | | seen by the facility or provider of mental, emotional, | 22 | | nervous, or substance use disorders or conditions for | 23 | | outpatient treatment or to wait longer than 20 | 24 | | business days between requesting a repeat or follow-up | 25 | | appointment and being seen by the facility or provider | 26 | | of mental, emotional, nervous, or substance use |
| | | 10200SB0471sam001 | - 10 - | LRB102 09983 BMS 24397 a |
|
| 1 | | disorders or conditions for outpatient treatment; | 2 | | however, subject to the protections of paragraph (3) | 3 | | of this subsection, a network plan shall not be held | 4 | | responsible if the beneficiary or provider voluntarily | 5 | | chooses to schedule an appointment outside of these | 6 | | required time frames. | 7 | | (2) For beneficiaries residing in all Illinois | 8 | | counties, network adequacy standards for timely and | 9 | | proximate access to treatment for mental, emotional, | 10 | | nervous, or substance use disorders or conditions means a | 11 | | beneficiary shall not have to travel longer than 60 | 12 | | minutes or 60 miles from the beneficiary's residence to | 13 | | receive inpatient or residential treatment for mental, | 14 | | emotional, nervous, or substance use disorders or | 15 | | conditions. | 16 | | (3) If there is no in-network facility or provider | 17 | | available for a beneficiary to receive timely and | 18 | | proximate access to treatment for mental, emotional, | 19 | | nervous, or substance use disorders or conditions in | 20 | | accordance with the network adequacy standards outlined in | 21 | | this subsection, the insurer shall provide necessary | 22 | | exceptions to its network to ensure admission and | 23 | | treatment with a provider or at a treatment facility in | 24 | | accordance with the network adequacy standards in this | 25 | | subsection. | 26 | | (e) Except for network plans solely offered as a group |
| | | 10200SB0471sam001 | - 11 - | LRB102 09983 BMS 24397 a |
|
| 1 | | health plan, these ratio and time and distance standards apply | 2 | | to the lowest cost-sharing tier of any tiered network. | 3 | | (f) The network plan may consider use of other health care | 4 | | service delivery options, such as telemedicine or telehealth, | 5 | | mobile clinics, and centers of excellence, or other ways of | 6 | | delivering care to partially meet the requirements set under | 7 | | this Section. | 8 | | (g) Except for the requirements set forth in subsection | 9 | | (d-5), insurers Insurers who are not able to comply with the | 10 | | provider ratios and time and distance standards established by | 11 | | the Department may request an exception to these requirements | 12 | | from the Department. The Department may grant an exception in | 13 | | the following circumstances: | 14 | | (1) if no providers or facilities meet the specific | 15 | | time and distance standard in a specific service area and | 16 | | the insurer (i) discloses information on the distance and | 17 | | travel time points that beneficiaries would have to travel | 18 | | beyond the required criterion to reach the next closest | 19 | | contracted provider outside of the service area and (ii) | 20 | | provides contact information, including names, addresses, | 21 | | and phone numbers for the next closest contracted provider | 22 | | or facility; | 23 | | (2) if patterns of care in the service area do not | 24 | | support the need for the requested number of provider or | 25 | | facility type and the insurer provides data on local | 26 | | patterns of care, such as claims data, referral patterns, |
| | | 10200SB0471sam001 | - 12 - | LRB102 09983 BMS 24397 a |
|
| 1 | | or local provider interviews, indicating where the | 2 | | beneficiaries currently seek this type of care or where | 3 | | the physicians currently refer beneficiaries, or both; or | 4 | | (3) other circumstances deemed appropriate by the | 5 | | Department consistent with the requirements of this Act. | 6 | | (h) Insurers are required to report to the Director any | 7 | | material change to an approved network plan within 15 days | 8 | | after the change occurs and any change that would result in | 9 | | failure to meet the requirements of this Act. Upon notice from | 10 | | the insurer, the Director shall reevaluate the network plan's | 11 | | compliance with the network adequacy and transparency | 12 | | standards of this Act.
| 13 | | (Source: P.A. 100-502, eff. 9-15-17; 100-601, eff. 6-29-18.) | 14 | | Section 10. The Illinois Public Aid Code is amended by | 15 | | changing Sections 5-16.8 and 5-30.1 as follows:
| 16 | | (305 ILCS 5/5-16.8)
| 17 | | Sec. 5-16.8. Required health benefits. The medical | 18 | | assistance program
shall
(i) provide the post-mastectomy care | 19 | | benefits required to be covered by a policy of
accident and | 20 | | health insurance under Section 356t and the coverage required
| 21 | | under Sections 356g.5, 356u, 356w, 356x, 356z.6, 356z.26, | 22 | | 356z.29, 356z.32, 356z.33, 356z.34, and 356z.35 of the | 23 | | Illinois
Insurance Code , and (ii) be subject to the provisions | 24 | | of Sections 356z.19, 364.01, 370c, and 370c.1 of the Illinois
|
| | | 10200SB0471sam001 | - 13 - | LRB102 09983 BMS 24397 a |
|
| 1 | | Insurance Code , and (iii) be subject to the provisions of | 2 | | subsection (d-5) of Section 10 of the Network Adequacy and | 3 | | Transparency Act .
| 4 | | The Department, by rule, shall adopt a model similar to | 5 | | the requirements of Section 356z.39 of the Illinois Insurance | 6 | | Code. | 7 | | On and after July 1, 2012, the Department shall reduce any | 8 | | rate of reimbursement for services or other payments or alter | 9 | | any methodologies authorized by this Code to reduce any rate | 10 | | of reimbursement for services or other payments in accordance | 11 | | with Section 5-5e. | 12 | | To ensure full access to the benefits set forth in this | 13 | | Section, on and after January 1, 2016, the Department shall | 14 | | ensure that provider and hospital reimbursement for | 15 | | post-mastectomy care benefits required under this Section are | 16 | | no lower than the Medicare reimbursement rate. | 17 | | (Source: P.A. 100-138, eff. 8-18-17; 100-863, eff. 8-14-18; | 18 | | 100-1057, eff. 1-1-19; 100-1102, eff. 1-1-19; 101-81, eff. | 19 | | 7-12-19; 101-218, eff. 1-1-20; 101-281, eff. 1-1-20; 101-371, | 20 | | eff. 1-1-20; 101-574, eff. 1-1-20; 101-649, eff. 7-7-20.)
| 21 | | (305 ILCS 5/5-30.1) | 22 | | Sec. 5-30.1. Managed care protections. | 23 | | (a) As used in this Section: | 24 | | "Managed care organization" or "MCO" means any entity | 25 | | which contracts with the Department to provide services where |
| | | 10200SB0471sam001 | - 14 - | LRB102 09983 BMS 24397 a |
|
| 1 | | payment for medical services is made on a capitated basis. | 2 | | "Emergency services" include: | 3 | | (1) emergency services, as defined by Section 10 of | 4 | | the Managed Care Reform and Patient Rights Act; | 5 | | (2) emergency medical screening examinations, as | 6 | | defined by Section 10 of the Managed Care Reform and | 7 | | Patient Rights Act; | 8 | | (3) post-stabilization medical services, as defined by | 9 | | Section 10 of the Managed Care Reform and Patient Rights | 10 | | Act; and | 11 | | (4) emergency medical conditions, as defined by
| 12 | | Section 10 of the Managed Care Reform and Patient Rights
| 13 | | Act. | 14 | | (b) As provided by Section 5-16.12, managed care | 15 | | organizations are subject to the provisions of the Managed | 16 | | Care Reform and Patient Rights Act. | 17 | | (c) An MCO shall pay any provider of emergency services | 18 | | that does not have in effect a contract with the contracted | 19 | | Medicaid MCO. The default rate of reimbursement shall be the | 20 | | rate paid under Illinois Medicaid fee-for-service program | 21 | | methodology, including all policy adjusters, including but not | 22 | | limited to Medicaid High Volume Adjustments, Medicaid | 23 | | Percentage Adjustments, Outpatient High Volume Adjustments, | 24 | | and all outlier add-on adjustments to the extent such | 25 | | adjustments are incorporated in the development of the | 26 | | applicable MCO capitated rates. |
| | | 10200SB0471sam001 | - 15 - | LRB102 09983 BMS 24397 a |
|
| 1 | | (d) An MCO shall pay for all post-stabilization services | 2 | | as a covered service in any of the following situations: | 3 | | (1) the MCO authorized such services; | 4 | | (2) such services were administered to maintain the | 5 | | enrollee's stabilized condition within one hour after a | 6 | | request to the MCO for authorization of further | 7 | | post-stabilization services; | 8 | | (3) the MCO did not respond to a request to authorize | 9 | | such services within one hour; | 10 | | (4) the MCO could not be contacted; or | 11 | | (5) the MCO and the treating provider, if the treating | 12 | | provider is a non-affiliated provider, could not reach an | 13 | | agreement concerning the enrollee's care and an affiliated | 14 | | provider was unavailable for a consultation, in which case | 15 | | the MCO
must pay for such services rendered by the | 16 | | treating non-affiliated provider until an affiliated | 17 | | provider was reached and either concurred with the | 18 | | treating non-affiliated provider's plan of care or assumed | 19 | | responsibility for the enrollee's care. Such payment shall | 20 | | be made at the default rate of reimbursement paid under | 21 | | Illinois Medicaid fee-for-service program methodology, | 22 | | including all policy adjusters, including but not limited | 23 | | to Medicaid High Volume Adjustments, Medicaid Percentage | 24 | | Adjustments, Outpatient High Volume Adjustments and all | 25 | | outlier add-on adjustments to the extent that such | 26 | | adjustments are incorporated in the development of the |
| | | 10200SB0471sam001 | - 16 - | LRB102 09983 BMS 24397 a |
|
| 1 | | applicable MCO capitated rates. | 2 | | (e) The following requirements apply to MCOs in | 3 | | determining payment for all emergency services: | 4 | | (1) MCOs shall not impose any requirements for prior | 5 | | approval of emergency services. | 6 | | (2) The MCO shall cover emergency services provided to | 7 | | enrollees who are temporarily away from their residence | 8 | | and outside the contracting area to the extent that the | 9 | | enrollees would be entitled to the emergency services if | 10 | | they still were within the contracting area. | 11 | | (3) The MCO shall have no obligation to cover medical | 12 | | services provided on an emergency basis that are not | 13 | | covered services under the contract. | 14 | | (4) The MCO shall not condition coverage for emergency | 15 | | services on the treating provider notifying the MCO of the | 16 | | enrollee's screening and treatment within 10 days after | 17 | | presentation for emergency services. | 18 | | (5) The determination of the attending emergency | 19 | | physician, or the provider actually treating the enrollee, | 20 | | of whether an enrollee is sufficiently stabilized for | 21 | | discharge or transfer to another facility, shall be | 22 | | binding on the MCO. The MCO shall cover emergency services | 23 | | for all enrollees whether the emergency services are | 24 | | provided by an affiliated or non-affiliated provider. | 25 | | (6) The MCO's financial responsibility for | 26 | | post-stabilization care services it has not pre-approved |
| | | 10200SB0471sam001 | - 17 - | LRB102 09983 BMS 24397 a |
|
| 1 | | ends when: | 2 | | (A) a plan physician with privileges at the | 3 | | treating hospital assumes responsibility for the | 4 | | enrollee's care; | 5 | | (B) a plan physician assumes responsibility for | 6 | | the enrollee's care through transfer; | 7 | | (C) a contracting entity representative and the | 8 | | treating physician reach an agreement concerning the | 9 | | enrollee's care; or | 10 | | (D) the enrollee is discharged. | 11 | | (f) Network adequacy and transparency. | 12 | | (1) The Department shall: | 13 | | (A) ensure that an adequate provider network is in | 14 | | place, taking into consideration health professional | 15 | | shortage areas and medically underserved areas; | 16 | | (B) publicly release an explanation of its process | 17 | | for analyzing network adequacy; | 18 | | (C) periodically ensure that an MCO continues to | 19 | | have an adequate network in place; and | 20 | | (D) require MCOs, including Medicaid Managed Care | 21 | | Entities as defined in Section 5-30.2, to meet | 22 | | provider directory requirements under Section 5-30.3 ; | 23 | | and . | 24 | | (E) require MCOs, including Medicaid Managed Care | 25 | | Entities as defined in Section 5-30.2, to meet each of | 26 | | the requirements under subsection (d-5) of Section 10 |
| | | 10200SB0471sam001 | - 18 - | LRB102 09983 BMS 24397 a |
|
| 1 | | of the Network Adequacy and Transparency Act; with | 2 | | necessary exceptions to the MCO's network to ensure | 3 | | that admission and treatment with a provider or at a | 4 | | treatment facility in accordance with the network | 5 | | adequacy standards in paragraph (3) of subsection | 6 | | (d-5) of Section 10 of the Network Adequacy and | 7 | | Transparency Act is limited to providers or facilities | 8 | | that are Medicaid certified. | 9 | | (2) Each MCO shall confirm its receipt of information | 10 | | submitted specific to physician or dentist additions or | 11 | | physician or dentist deletions from the MCO's provider | 12 | | network within 3 days after receiving all required | 13 | | information from contracted physicians or dentists, and | 14 | | electronic physician and dental directories must be | 15 | | updated consistent with current rules as published by the | 16 | | Centers for Medicare and Medicaid Services or its | 17 | | successor agency. | 18 | | (g) Timely payment of claims. | 19 | | (1) The MCO shall pay a claim within 30 days of | 20 | | receiving a claim that contains all the essential | 21 | | information needed to adjudicate the claim. | 22 | | (2) The MCO shall notify the billing party of its | 23 | | inability to adjudicate a claim within 30 days of | 24 | | receiving that claim. | 25 | | (3) The MCO shall pay a penalty that is at least equal | 26 | | to the timely payment interest penalty imposed under |
| | | 10200SB0471sam001 | - 19 - | LRB102 09983 BMS 24397 a |
|
| 1 | | Section 368a of the Illinois Insurance Code for any claims | 2 | | not timely paid. | 3 | | (A) When an MCO is required to pay a timely payment | 4 | | interest penalty to a provider, the MCO must calculate | 5 | | and pay the timely payment interest penalty that is | 6 | | due to the provider within 30 days after the payment of | 7 | | the claim. In no event shall a provider be required to | 8 | | request or apply for payment of any owed timely | 9 | | payment interest penalties. | 10 | | (B) Such payments shall be reported separately | 11 | | from the claim payment for services rendered to the | 12 | | MCO's enrollee and clearly identified as interest | 13 | | payments. | 14 | | (4)(A) The Department shall require MCOs to expedite | 15 | | payments to providers identified on the Department's | 16 | | expedited provider list, determined in accordance with 89 | 17 | | Ill. Adm. Code 140.71(b), on a schedule at least as | 18 | | frequently as the providers are paid under the | 19 | | Department's fee-for-service expedited provider schedule. | 20 | | (B) Compliance with the expedited provider requirement | 21 | | may be satisfied by an MCO through the use of a Periodic | 22 | | Interim Payment (PIP) program that has been mutually | 23 | | agreed to and documented between the MCO and the provider, | 24 | | and the PIP program ensures that any expedited provider | 25 | | receives regular and periodic payments based on prior | 26 | | period payment experience from that MCO. Total payments |
| | | 10200SB0471sam001 | - 20 - | LRB102 09983 BMS 24397 a |
|
| 1 | | under the PIP program may be reconciled against future PIP | 2 | | payments on a schedule mutually agreed to between the MCO | 3 | | and the provider. | 4 | | (C) The Department shall share at least monthly its | 5 | | expedited provider list and the frequency with which it | 6 | | pays providers on the expedited list. | 7 | | (g-5) Recognizing that the rapid transformation of the | 8 | | Illinois Medicaid program may have unintended operational | 9 | | challenges for both payers and providers: | 10 | | (1) in no instance shall a medically necessary covered | 11 | | service rendered in good faith, based upon eligibility | 12 | | information documented by the provider, be denied coverage | 13 | | or diminished in payment amount if the eligibility or | 14 | | coverage information available at the time the service was | 15 | | rendered is later found to be inaccurate in the assignment | 16 | | of coverage responsibility between MCOs or the | 17 | | fee-for-service system, except for instances when an | 18 | | individual is deemed to have not been eligible for | 19 | | coverage under the Illinois Medicaid program; and | 20 | | (2) the Department shall, by December 31, 2016, adopt | 21 | | rules establishing policies that shall be included in the | 22 | | Medicaid managed care policy and procedures manual | 23 | | addressing payment resolutions in situations in which a | 24 | | provider renders services based upon information obtained | 25 | | after verifying a patient's eligibility and coverage plan | 26 | | through either the Department's current enrollment system |
| | | 10200SB0471sam001 | - 21 - | LRB102 09983 BMS 24397 a |
|
| 1 | | or a system operated by the coverage plan identified by | 2 | | the patient presenting for services: | 3 | | (A) such medically necessary covered services | 4 | | shall be considered rendered in good faith; | 5 | | (B) such policies and procedures shall be | 6 | | developed in consultation with industry | 7 | | representatives of the Medicaid managed care health | 8 | | plans and representatives of provider associations | 9 | | representing the majority of providers within the | 10 | | identified provider industry; and | 11 | | (C) such rules shall be published for a review and | 12 | | comment period of no less than 30 days on the | 13 | | Department's website with final rules remaining | 14 | | available on the Department's website. | 15 | | The rules on payment resolutions shall include, but not be | 16 | | limited to: | 17 | | (A) the extension of the timely filing period; | 18 | | (B) retroactive prior authorizations; and | 19 | | (C) guaranteed minimum payment rate of no less than | 20 | | the current, as of the date of service, fee-for-service | 21 | | rate, plus all applicable add-ons, when the resulting | 22 | | service relationship is out of network. | 23 | | The rules shall be applicable for both MCO coverage and | 24 | | fee-for-service coverage. | 25 | | If the fee-for-service system is ultimately determined to | 26 | | have been responsible for coverage on the date of service, the |
| | | 10200SB0471sam001 | - 22 - | LRB102 09983 BMS 24397 a |
|
| 1 | | Department shall provide for an extended period for claims | 2 | | submission outside the standard timely filing requirements. | 3 | | (g-6) MCO Performance Metrics Report. | 4 | | (1) The Department shall publish, on at least a | 5 | | quarterly basis, each MCO's operational performance, | 6 | | including, but not limited to, the following categories of | 7 | | metrics: | 8 | | (A) claims payment, including timeliness and | 9 | | accuracy; | 10 | | (B) prior authorizations; | 11 | | (C) grievance and appeals; | 12 | | (D) utilization statistics; | 13 | | (E) provider disputes; | 14 | | (F) provider credentialing; and | 15 | | (G) member and provider customer service. | 16 | | (2) The Department shall ensure that the metrics | 17 | | report is accessible to providers online by January 1, | 18 | | 2017. | 19 | | (3) The metrics shall be developed in consultation | 20 | | with industry representatives of the Medicaid managed care | 21 | | health plans and representatives of associations | 22 | | representing the majority of providers within the | 23 | | identified industry. | 24 | | (4) Metrics shall be defined and incorporated into the | 25 | | applicable Managed Care Policy Manual issued by the | 26 | | Department. |
| | | 10200SB0471sam001 | - 23 - | LRB102 09983 BMS 24397 a |
|
| 1 | | (g-7) MCO claims processing and performance analysis. In | 2 | | order to monitor MCO payments to hospital providers, pursuant | 3 | | to this amendatory Act of the 100th General Assembly, the | 4 | | Department shall post an analysis of MCO claims processing and | 5 | | payment performance on its website every 6 months. Such | 6 | | analysis shall include a review and evaluation of a | 7 | | representative sample of hospital claims that are rejected and | 8 | | denied for clean and unclean claims and the top 5 reasons for | 9 | | such actions and timeliness of claims adjudication, which | 10 | | identifies the percentage of claims adjudicated within 30, 60, | 11 | | 90, and over 90 days, and the dollar amounts associated with | 12 | | those claims. The Department shall post the contracted claims | 13 | | report required by HealthChoice Illinois on its website every | 14 | | 3 months. | 15 | | (g-8) Dispute resolution process. The Department shall | 16 | | maintain a provider complaint portal through which a provider | 17 | | can submit to the Department unresolved disputes with an MCO. | 18 | | An unresolved dispute means an MCO's decision that denies in | 19 | | whole or in part a claim for reimbursement to a provider for | 20 | | health care services rendered by the provider to an enrollee | 21 | | of the MCO with which the provider disagrees. Disputes shall | 22 | | not be submitted to the portal until the provider has availed | 23 | | itself of the MCO's internal dispute resolution process. | 24 | | Disputes that are submitted to the MCO internal dispute | 25 | | resolution process may be submitted to the Department of | 26 | | Healthcare and Family Services' complaint portal no sooner |
| | | 10200SB0471sam001 | - 24 - | LRB102 09983 BMS 24397 a |
|
| 1 | | than 30 days after submitting to the MCO's internal process | 2 | | and not later than 30 days after the unsatisfactory resolution | 3 | | of the internal MCO process or 60 days after submitting the | 4 | | dispute to the MCO internal process. Multiple claim disputes | 5 | | involving the same MCO may be submitted in one complaint, | 6 | | regardless of whether the claims are for different enrollees, | 7 | | when the specific reason for non-payment of the claims | 8 | | involves a common question of fact or policy. Within 10 | 9 | | business days of receipt of a complaint, the Department shall | 10 | | present such disputes to the appropriate MCO, which shall then | 11 | | have 30 days to issue its written proposal to resolve the | 12 | | dispute. The Department may grant one 30-day extension of this | 13 | | time frame to one of the parties to resolve the dispute. If the | 14 | | dispute remains unresolved at the end of this time frame or the | 15 | | provider is not satisfied with the MCO's written proposal to | 16 | | resolve the dispute, the provider may, within 30 days, request | 17 | | the Department to review the dispute and make a final | 18 | | determination. Within 30 days of the request for Department | 19 | | review of the dispute, both the provider and the MCO shall | 20 | | present all relevant information to the Department for | 21 | | resolution and make individuals with knowledge of the issues | 22 | | available to the Department for further inquiry if needed. | 23 | | Within 30 days of receiving the relevant information on the | 24 | | dispute, or the lapse of the period for submitting such | 25 | | information, the Department shall issue a written decision on | 26 | | the dispute based on contractual terms between the provider |
| | | 10200SB0471sam001 | - 25 - | LRB102 09983 BMS 24397 a |
|
| 1 | | and the MCO, contractual terms between the MCO and the | 2 | | Department of Healthcare and Family Services and applicable | 3 | | Medicaid policy. The decision of the Department shall be | 4 | | final. By January 1, 2020, the Department shall establish by | 5 | | rule further details of this dispute resolution process. | 6 | | Disputes between MCOs and providers presented to the | 7 | | Department for resolution are not contested cases, as defined | 8 | | in Section 1-30 of the Illinois Administrative Procedure Act, | 9 | | conferring any right to an administrative hearing. | 10 | | (g-9)(1) The Department shall publish annually on its | 11 | | website a report on the calculation of each managed care | 12 | | organization's medical loss ratio showing the following: | 13 | | (A) Premium revenue, with appropriate adjustments. | 14 | | (B) Benefit expense, setting forth the aggregate | 15 | | amount spent for the following: | 16 | | (i) Direct paid claims. | 17 | | (ii) Subcapitation payments. | 18 | | (iii)
Other claim payments. | 19 | | (iv)
Direct reserves. | 20 | | (v)
Gross recoveries. | 21 | | (vi)
Expenses for activities that improve health | 22 | | care quality as allowed by the Department. | 23 | | (2) The medical loss ratio shall be calculated consistent | 24 | | with federal law and regulation following a claims runout | 25 | | period determined by the Department. | 26 | | (g-10)(1) "Liability effective date" means the date on |
| | | 10200SB0471sam001 | - 26 - | LRB102 09983 BMS 24397 a |
|
| 1 | | which an MCO becomes responsible for payment for medically | 2 | | necessary and covered services rendered by a provider to one | 3 | | of its enrollees in accordance with the contract terms between | 4 | | the MCO and the provider. The liability effective date shall | 5 | | be the later of: | 6 | | (A) The execution date of a network participation | 7 | | contract agreement. | 8 | | (B) The date the provider or its representative | 9 | | submits to the MCO the complete and accurate standardized | 10 | | roster form for the provider in the format approved by the | 11 | | Department. | 12 | | (C) The provider effective date contained within the | 13 | | Department's provider enrollment subsystem within the | 14 | | Illinois Medicaid Program Advanced Cloud Technology | 15 | | (IMPACT) System. | 16 | | (2) The standardized roster form may be submitted to the | 17 | | MCO at the same time that the provider submits an enrollment | 18 | | application to the Department through IMPACT. | 19 | | (3) By October 1, 2019, the Department shall require all | 20 | | MCOs to update their provider directory with information for | 21 | | new practitioners of existing contracted providers within 30 | 22 | | days of receipt of a complete and accurate standardized roster | 23 | | template in the format approved by the Department provided | 24 | | that the provider is effective in the Department's provider | 25 | | enrollment subsystem within the IMPACT system. Such provider | 26 | | directory shall be readily accessible for purposes of |
| | | 10200SB0471sam001 | - 27 - | LRB102 09983 BMS 24397 a |
|
| 1 | | selecting an approved health care provider and comply with all | 2 | | other federal and State requirements. | 3 | | (g-11) The Department shall work with relevant | 4 | | stakeholders on the development of operational guidelines to | 5 | | enhance and improve operational performance of Illinois' | 6 | | Medicaid managed care program, including, but not limited to, | 7 | | improving provider billing practices, reducing claim | 8 | | rejections and inappropriate payment denials, and | 9 | | standardizing processes, procedures, definitions, and response | 10 | | timelines, with the goal of reducing provider and MCO | 11 | | administrative burdens and conflict. The Department shall | 12 | | include a report on the progress of these program improvements | 13 | | and other topics in its Fiscal Year 2020 annual report to the | 14 | | General Assembly. | 15 | | (h) The Department shall not expand mandatory MCO | 16 | | enrollment into new counties beyond those counties already | 17 | | designated by the Department as of June 1, 2014 for the | 18 | | individuals whose eligibility for medical assistance is not | 19 | | the seniors or people with disabilities population until the | 20 | | Department provides an opportunity for accountable care | 21 | | entities and MCOs to participate in such newly designated | 22 | | counties. | 23 | | (i) The requirements of this Section apply to contracts | 24 | | with accountable care entities and MCOs entered into, amended, | 25 | | or renewed after June 16, 2014 (the effective date of Public | 26 | | Act 98-651).
|
| | | 10200SB0471sam001 | - 28 - | LRB102 09983 BMS 24397 a |
|
| 1 | | (j) Health care information released to managed care | 2 | | organizations. A health care provider shall release to a | 3 | | Medicaid managed care organization, upon request, and subject | 4 | | to the Health Insurance Portability and Accountability Act of | 5 | | 1996 and any other law applicable to the release of health | 6 | | information, the health care information of the MCO's | 7 | | enrollee, if the enrollee has completed and signed a general | 8 | | release form that grants to the health care provider | 9 | | permission to release the recipient's health care information | 10 | | to the recipient's insurance carrier. | 11 | | (Source: P.A. 100-201, eff. 8-18-17; 100-580, eff. 3-12-18; | 12 | | 100-587, eff. 6-4-18; 101-209, eff. 8-5-19.)".
|
|