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        PRIOR PRINTER'S NO. 1448                      PRINTER'S NO. 2237

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1150 Session of 2007


        INTRODUCED BY D. O'BRIEN, DeWEESE, PALLONE, PHILLIPS, RAPP,
           SCAVELLO, STURLA, BAKER, BASTIAN, BOYD, BROOKS, CALTAGIRONE,
           CARROLL, CLYMER, COHEN, CONKLIN, DALEY, DALLY, DeLUCA,
           DePASQUALE, DONATUCCI, EVERETT, FREEMAN, GEIST, GEORGE,
           GIBBONS, GINGRICH, GOODMAN, GRUCELA, HALUSKA, HARKINS,
           HENNESSEY, HERSHEY, JAMES, JOSEPHS, KAUFFMAN, W. KELLER,
           KENNEY, KIRKLAND, KOTIK, KULA, LEACH, LENTZ, MAHONEY,
           MANDERINO, MANN, MARKOSEK, MARSHALL, McILHATTAN, MOYER, MURT,
           MUSTIO, McGEEHAN, MYERS, NAILOR, M. O'BRIEN, PASHINSKI,
           PAYNE, PETRONE, PRESTON, READSHAW, REICHLEY, ROSS, SCHRODER,
           SEIP, SHAPIRO, SHIMKUS, M. SMITH, SOLOBAY, SONNEY, STABACK,
           STEIL, SURRA, TANGRETTI, TRUE, VEREB, WATSON, J. WHITE,
           WOJNAROSKI, YUDICHAK, MACKERETH, MANTZ, BARRAR, HORNAMAN,
           CAUSER, WALKO, HELM, MELIO, DENLINGER, BRENNAN, RAMALEY,
           DiGIROLAMO, GERGELY, M. KELLER, FRANKEL, FABRIZIO,
           YOUNGBLOOD, REED, ROAE, CURRY AND K SMITH, APRIL 30, 2007

        AS REPORTED FROM COMMITTEE ON INSURANCE, HOUSE OF
           REPRESENTATIVES, AS AMENDED, JULY 5, 2007

                                     AN ACT

     1  Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An
     2     act relating to insurance; amending, revising, and
     3     consolidating the law providing for the incorporation of
     4     insurance companies, and the regulation, supervision, and
     5     protection of home and foreign insurance companies, Lloyds
     6     associations, reciprocal and inter-insurance exchanges, and
     7     fire insurance rating bureaus, and the regulation and
     8     supervision of insurance carried by such companies,
     9     associations, and exchanges, including insurance carried by
    10     the State Workmen's Insurance Fund; providing penalties; and
    11     repealing existing laws," providing, in health and accident
    12     insurance, for autism spectrum disorders coverage AND FOR      <--
    13     TREATMENT OF AUTISM SPECTRUM DISORDERS; AND FURTHER PROVIDING
    14     FOR QUALITY HEALTH CARE PROCEDURES.

    15     The General Assembly of the Commonwealth of Pennsylvania
    16  hereby enacts as follows:


     1     Section 1.  The act of May 17, 1921 (P.L.682, No.284), known   <--
     2  as The Insurance Company Law of 1921, is amended by adding a
     3  section to read:
     4     Section 635.2.  Autism Spectrum Disorders Coverage.--(a)  A
     5  health insurance policy delivered, issued, executed or renewed
     6  in this Commonwealth on or after the effective date of this
     7  section shall provide coverage for autism spectrum disorders and
     8  include coverage for the following care and services:
     9     (1)  Habilitation care.
    10     (2)  Psychiatric care.
    11     (3)  Psychological care.
    12     (4)  Rehabilitation care.
    13     (5)  Respite care.
    14     (6)  Therapeutic care.
    15     (7)  Medications prescribed by a physician or certified nurse
    16  practitioner to address symptoms of autism spectrum disorders.
    17     (b)  Coverage provided under this section shall be subject to
    18  a maximum benefit of three thousand dollars per month for the
    19  covered individual, adjusted annually by the average percentage
    20  increase or decrease of private medical insurance premiums each
    21  year. The limit shall not apply to coverage of the other health
    22  conditions of the individual not related to the treatment of
    23  autism spectrum disorders.
    24     (c)  Coverage under this section shall be subject to
    25  copayment, deductible and coinsurance provisions of a health
    26  insurance policy to the extent that other medical services
    27  covered by the policy are subject to these provisions.
    28     (d)  This section shall not be construed as limiting benefits
    29  which are otherwise available to an individual under a health
    30  insurance policy.
    20070H1150B2237                  - 2 -     

     1     (e)  This section shall not apply to the following types of
     2  policies:
     3     (1)  Accident only.
     4     (2)  Limited benefit.
     5     (3)  Credit.
     6     (4)  Dental.
     7     (5)  Vision.
     8     (6)  Specified disease.
     9     (7)  Medicare supplement.
    10     (8)  CHAMPUS (Civilian Health and Medical Program of the
    11  Uniformed Services) supplement.
    12     (9)  Long-term care or disability income.
    13     (10)  Workers' compensation.
    14     (11)  Automobile medical payment.
    15     (12)  Hospital indemnity.
    16     (f)  This section shall not apply to the Commonwealth's
    17  medical assistance program nor to medical assistance managed
    18  care contractors under the medical assistance program.
    19     (g)  As used in this section:
    20     (1)  "Autism spectrum disorders" means any of the pervasive
    21  developmental disorders as defined by the most recent edition of
    22  the Diagnostic and Statistical Manual of Mental Disorders (DSM),
    23  including autistic disorder, Asperger's disorder and pervasive
    24  developmental disorder not otherwise specified.
    25     (2)  "Habilitation care" means care designed to assist
    26  individuals in acquiring, retaining and improving the self-help,
    27  socialization and adaptive skills necessary to reside
    28  successfully in home or community-based settings. Habilitation
    29  care may be provided for up to twenty-four hours a day based on
    30  the needs of the individual receiving the care and includes
    20070H1150B2237                  - 3 -     

     1  health, social or home or community-based services or other
     2  services needed to insure the optimal functioning of an
     3  individual in the individual's home or community-based setting;
     4  behavioral interventions based on the principles of applied
     5  behavioral analysis; and related structured behavioral programs
     6  for up to forty hours a week.
     7     (3)  "Health insurance policy" means any group health,
     8  sickness or accident policy or subscriber contract or
     9  certificate issued by an insurance entity subject to one of the
    10  following:
    11     (i)  This act.
    12     (ii)  The act of December 29, 1972 (P.L.1701, No.364), known
    13  as the "Health Maintenance Organization Act."
    14     (iii)  The act of May 18, 1976 (P.L.123, No.54), known as the
    15  "Individual Accident and Sickness Insurance Minimum Standards
    16  Act."
    17     (iv)  40 Pa.C.S. Ch. 61 (relating to hospital plan
    18  corporations) or 63 (relating to professional health services
    19  plan corporations).
    20     (4)  "Psychiatric care" means direct or consultative services
    21  provided by a psychiatrist licensed in the state in which the
    22  psychiatrist practices.
    23     (5)  "Psychological care" means direct or consultative
    24  services provided by a licensed psychologist in the state in
    25  which the psychiatrist practices.
    26     (6)  "Rehabilitative care" means professional, counseling and
    27  guidance services and treatment programs which are necessary to
    28  develop, maintain and restore, to the maximum extent
    29  practicable, the functioning of an individual.
    30     (7)  "Respite care" means care furnished in relief of the
    20070H1150B2237                  - 4 -     

     1  primary caregiver on an intermittent basis for a limited period
     2  to an individual who resides primarily in a private residence
     3  when such care will help the individual to continue residing in
     4  the private residence. The term includes nursing care or private
     5  nursing care provided on a respite basis.
     6     (8)  "Therapeutic care" means services provided by licensed
     7  or certified speech therapists, occupational therapists,
     8  physical therapists or behavioral health specialists.
     9     Section 2.  This act shall take effect in 60 days.
    10     SECTION 1.  THE ACT OF MAY 17, 1921 (P.L.682, NO.284), KNOWN   <--
    11  AS THE INSURANCE COMPANY LAW OF 1921, IS AMENDED BY ADDING
    12  SECTIONS TO READ:
    13     SECTION 635.2.  AUTISM SPECTRUM DISORDERS COVERAGE.--(A)  A
    14  HEALTH INSURANCE POLICY OR GOVERNMENT PROGRAM SHALL PROVIDE TO
    15  COVERED INDIVIDUALS OR RECIPIENTS UNDER TWENTY-ONE YEARS OF AGE
    16  COVERAGE FOR THE DIAGNOSIS OF AUTISM SPECTRUM DISORDERS AND FOR
    17  THE TREATMENT OF AUTISM SPECTRUM DISORDERS.
    18     (B)  EXCEPT FOR THE COMMONWEALTH'S MEDICAL ASSISTANCE PROGRAM
    19  ESTABLISHED UNDER THE ACT OF JUNE 13, 1967 (P.L.31, NO.21),
    20  KNOWN AS THE "PUBLIC WELFARE CODE," AND EXCEPT FOR THE
    21  CHILDREN'S HEALTH CARE PROGRAM ESTABLISHED UNDER THIS ACT,
    22  COVERAGE PROVIDED UNDER THIS SECTION SHALL BE SUBJECT TO A
    23  MAXIMUM BENEFIT OF THIRTY-SIX THOUSAND DOLLARS ($36,000) PER
    24  YEAR BUT SHALL NOT BE SUBJECT TO ANY LIMITS ON THE NUMBER OF
    25  VISITS TO AN AUTISM SERVICE PROVIDER. AFTER DECEMBER 30, 2009,
    26  THE INSURANCE COMMISSIONER SHALL, ON AN ANNUAL BASIS, ADJUST THE
    27  MAXIMUM BENEFIT FOR INFLATION USING THE MEDICAL PRICE INDEX
    28  (MPI) COMPONENT OF THE DEPARTMENT OF LABOR CONSUMER PRICE INDEX
    29  (CPI). THE COMMISSIONER SHALL SUBMIT THE ADJUSTED MAXIMUM
    30  BENEFIT TO THE LEGISLATIVE REFERENCE BUREAU FOR PUBLICATION
    20070H1150B2237                  - 5 -     

     1  ANNUALLY IN THE PENNSYLVANIA BULLETIN NO LATER THAN APRIL 1 OF
     2  EACH CALENDAR YEAR, AND THE PUBLISHED ADJUSTED MAXIMUM BENEFIT
     3  SHALL BE APPLICABLE IN THE FOLLOWING CALENDAR YEAR TO HEALTH
     4  INSURANCE POLICIES AND GOVERNMENT PROGRAMS SUBJECT TO THIS ACT.
     5  PAYMENTS MADE BY AN INSURER ON BEHALF OF A COVERED INDIVIDUAL
     6  FOR ANY CARE, TREATMENT, INTERVENTION, SERVICE OR ITEM, THE
     7  PROVISION OF WHICH WAS FOR THE TREATMENT OF A HEALTH CONDITION
     8  UNRELATED TO THE COVERED INDIVIDUAL'S AUTISM SPECTRUM DISORDER,
     9  SHALL NOT BE APPLIED TOWARD ANY MAXIMUM BENEFIT ESTABLISHED
    10  UNDER THIS SUBSECTION.
    11     (C)  COVERAGE UNDER THIS SECTION SHALL BE SUBJECT TO
    12  COPAYMENT, DEDUCTIBLE AND COINSURANCE PROVISIONS OF A HEALTH
    13  INSURANCE POLICY OR GOVERNMENT PROGRAM TO THE EXTENT THAT OTHER
    14  MEDICAL SERVICES COVERED BY THE POLICY OR GOVERNMENT PROGRAM ARE
    15  SUBJECT TO THESE PROVISIONS.
    16     (D)  THIS SECTION SHALL NOT BE CONSTRUED AS LIMITING BENEFITS
    17  WHICH ARE OTHERWISE AVAILABLE TO AN INDIVIDUAL UNDER A HEALTH
    18  INSURANCE POLICY.
    19     (E)  THIS SECTION SHALL NOT APPLY TO THE FOLLOWING TYPES OF
    20  POLICIES:
    21     (1)  ACCIDENT ONLY.
    22     (2)  LIMITED BENEFIT.
    23     (3)  CREDIT.
    24     (4)  DENTAL.
    25     (5)  VISION.
    26     (6)  SPECIFIED DISEASE.
    27     (7)  MEDICARE SUPPLEMENT.
    28     (8)  CHAMPUS (CIVILIAN HEALTH AND MEDICAL PROGRAM OF THE
    29  UNIFORMED SERVICES) SUPPLEMENT.
    30     (9)  LONG-TERM CARE OR DISABILITY INCOME.
    20070H1150B2237                  - 6 -     

     1     (10)  WORKERS' COMPENSATION.
     2     (11)  AUTOMOBILE MEDICAL PAYMENT.
     3     (12)  HOSPITAL INDEMNITY.
     4     (F)  AS USED IN THIS SECTION:
     5     (1)  "APPLIED BEHAVIORAL ANALYSIS" MEANS THE DESIGN,
     6  IMPLEMENTATION AND EVALUATION OF ENVIRONMENTAL MODIFICATIONS,
     7  USING BEHAVIORAL STIMULI AND CONSEQUENCES, TO PRODUCE SOCIALLY
     8  SIGNIFICANT IMPROVEMENT IN HUMAN BEHAVIOR, INCLUDING THE USE OF
     9  DIRECT OBSERVATION, MEASUREMENT AND FUNCTIONAL ANALYSIS OF THE
    10  RELATIONS BETWEEN ENVIRONMENT AND BEHAVIOR.
    11     (2)  "AUTISM SERVICE PROVIDER" MEANS ANY PERSON, ENTITY OR
    12  GROUP THAT PROVIDES TREATMENT OF AUTISM SPECTRUM DISORDERS.
    13     (3)  "AUTISM SPECTRUM DISORDERS" MEANS ANY OF THE PERVASIVE
    14  DEVELOPMENTAL DISORDERS AS DEFINED BY THE MOST RECENT EDITION OF
    15  THE DIAGNOSTIC AND STATISTICAL MANUAL OF MENTAL DISORDERS (DSM),
    16  INCLUDING AUTISTIC DISORDER, ASPERGER'S DISORDER AND PERVASIVE
    17  DEVELOPMENTAL DISORDER NOT OTHERWISE SPECIFIED.
    18     (4)  "DIAGNOSIS OF AUTISM SPECTRUM DISORDERS" MEANS MEDICALLY
    19  NECESSARY ASSESSMENTS, EVALUATIONS OR TESTS IN ORDER TO DIAGNOSE
    20  WHETHER AN INDIVIDUAL HAS AN AUTISM SPECTRUM DISORDER.
    21     (5)  "EVIDENCED-BASED RESEARCH" MEANS RESEARCH THAT APPLIES
    22  RIGOROUS, SYSTEMATIC AND OBJECTIVE PROCEDURES TO OBTAIN VALID
    23  KNOWLEDGE RELEVANT TO AUTISM SPECTRUM DISORDERS.
    24     (6)  "GOVERNMENT PROGRAM" MEANS ANY OF THE FOLLOWING:
    25     (I)  THE COMMONWEALTH'S MEDICAL ASSISTANCE PROGRAM
    26  ESTABLISHED UNDER THE ACT OF JUNE 13, 1967 (P.L.31, NO.21),
    27  KNOWN AS THE "PUBLIC WELFARE CODE."
    28     (II)  THE ADULT BASIC COVERAGE INSURANCE PROGRAM ESTABLISHED
    29  UNDER CHAPTER 13 OF THE ACT OF JUNE 26, 2001 (P.L.755, NO.77),
    30  KNOWN AS THE "TOBACCO SETTLEMENT ACT."
    20070H1150B2237                  - 7 -     

     1     (III)  THE CHILDREN'S HEALTH CARE PROGRAM ESTABLISHED UNDER
     2  THIS ACT.
     3     (7)  "HEALTH INSURANCE POLICY" MEANS ANY GROUP HEALTH,
     4  SICKNESS OR ACCIDENT POLICY OR SUBSCRIBER CONTRACT OR
     5  CERTIFICATE ISSUED BY AN INSURANCE ENTITY SUBJECT TO ONE OF THE
     6  FOLLOWING:
     7     (I)  THIS ACT.
     8     (II)  THE ACT OF DECEMBER 29, 1972 (P.L.1701, NO.364), KNOWN
     9  AS THE "HEALTH MAINTENANCE ORGANIZATION ACT."
    10     (III)  THE ACT OF MAY 18, 1976 (P.L.123, NO.54), KNOWN AS THE
    11  "INDIVIDUAL ACCIDENT AND SICKNESS INSURANCE MINIMUM STANDARDS
    12  ACT."
    13     (IV)  40 PA.C.S. CH. 61 (RELATING TO HOSPITAL PLAN
    14  CORPORATIONS) OR 63 (RELATING TO PROFESSIONAL HEALTH SERVICES
    15  PLAN CORPORATIONS).
    16     (8)  "MEDICALLY NECESSARY" MEANS ANY CARE, TREATMENT,
    17  INTERVENTION, SERVICE OR ITEM WHICH IS PRESCRIBED, PROVIDED OR
    18  ORDERED BY A LICENSED PHYSICIAN, LICENSED PSYCHOLOGIST OR
    19  CERTIFIED REGISTERED NURSE PRACTITIONER IN ACCORDANCE WITH
    20  ACCEPTED STANDARDS OF PRACTICE AND WHICH WILL, OR IS REASONABLY
    21  EXPECTED TO, DO ANY OF THE FOLLOWING:
    22     (I)  PREVENT THE ONSET OF AN ILLNESS, CONDITION, INJURY OR
    23  DISABILITY.
    24     (II)  REDUCE OR AMELIORATE THE PHYSICAL, MENTAL OR
    25  DEVELOPMENTAL EFFECTS OF AN ILLNESS, CONDITION, INJURY OR
    26  DISABILITY.
    27     (III)  ASSIST TO ACHIEVE OR MAINTAIN MAXIMUM FUNCTIONAL
    28  CAPACITY IN PERFORMING DAILY ACTIVITIES, TAKING INTO ACCOUNT
    29  BOTH THE FUNCTIONAL CAPACITY OF THE RECIPIENT AND THOSE
    30  FUNCTIONAL CAPACITIES THAT ARE APPROPRIATE OF RECIPIENTS OF THE
    20070H1150B2237                  - 8 -     

     1  SAME AGE.
     2     (9)  "PHARMACY CARE" MEANS MEDICATIONS PRESCRIBED BY A
     3  LICENSED PHYSICIAN OR CERTIFIED REGISTERED NURSE PRACTITIONER
     4  AND ANY HEALTH-RELATED SERVICES DEEMED MEDICALLY NECESSARY TO
     5  DETERMINE THE NEED OR EFFECTIVENESS OF THE MEDICATIONS.
     6     (10)  "PSYCHIATRIC CARE" MEANS DIRECT OR CONSULTATIVE
     7  SERVICES PROVIDED BY A PSYCHIATRIST LICENSED IN THE STATE IN
     8  WHICH THE PSYCHIATRIST PRACTICES.
     9     (11)  "PSYCHOLOGICAL CARE" MEANS DIRECT OR CONSULTATIVE
    10  SERVICES PROVIDED BY A LICENSED PSYCHOLOGIST IN THE STATE IN
    11  WHICH THE PSYCHOLOGIST PRACTICES.
    12     (12)  "REHABILITATIVE CARE" MEANS PROFESSIONAL, COUNSELING
    13  AND GUIDANCE SERVICES AND TREATMENT PROGRAMS, INCLUDING APPLIED
    14  BEHAVIORAL ANALYSIS, WHICH ARE NECESSARY TO DEVELOP, MAINTAIN
    15  AND RESTORE, TO THE MAXIMUM EXTENT PRACTICABLE, THE FUNCTIONING
    16  OF AN INDIVIDUAL.
    17     (13)  "THERAPEUTIC CARE" MEANS SERVICES PROVIDED BY LICENSED
    18  OR CERTIFIED SPEECH THERAPISTS, OCCUPATIONAL THERAPISTS OR
    19  PHYSICAL THERAPISTS.
    20     (14)  "TREATMENT FOR AUTISM SPECTRUM DISORDERS" SHALL INCLUDE
    21  THE FOLLOWING CARE PRESCRIBED, PROVIDED OR ORDERED FOR AN
    22  INDIVIDUAL DIAGNOSED WITH AN AUTISM SPECTRUM DISORDER BY A
    23  LICENSED PHYSICIAN, LICENSED PSYCHOLOGIST OR CERTIFIED
    24  REGISTERED NURSE PRACTITIONER IF THE CARE IS DETERMINED TO BE
    25  MEDICALLY NECESSARY:
    26     (I)  PSYCHIATRIC CARE.
    27     (II) PSYCHOLOGICAL CARE.
    28     (III)  REHABILITATIVE CARE.
    29     (IV)  THERAPEUTIC CARE.
    30     (V)  PHARMACY CARE.
    20070H1150B2237                  - 9 -     

     1     (VI)  ANY CARE, TREATMENT, INTERVENTION, SERVICE OR ITEM FOR
     2  INDIVIDUALS WITH AN AUTISM SPECTRUM DISORDER WHICH IS DETERMINED
     3  BY THE DEPARTMENT OF PUBLIC WELFARE, BASED UPON ITS REVIEW OF
     4  BEST PRACTICES OR EVIDENCED-BASED RESEARCH, TO BE MEDICALLY
     5  NECESSARY AND WHICH IS PUBLISHED IN THE PENNSYLVANIA BULLETIN.
     6  ANY SUCH CARE, TREATMENT, INTERVENTION, SERVICE OR ITEM WHICH
     7  WAS NOT PREVIOUSLY COVERED SHALL BE INCLUDED IN ANY HEALTH
     8  INSURANCE POLICY OR CONTRACT UNDER A GOVERNMENT PROGRAM
     9  DELIVERED, ISSUED, EXECUTED OR RENEWED ON OR AFTER 120 DAYS
    10  FOLLOWING THE DATE OF ITS PUBLICATION IN THE PENNSYLVANIA
    11  BULLETIN.
    12     (G)  THE DEPARTMENT OF PUBLIC WELFARE SHALL PROMULGATE
    13  REGULATIONS ESTABLISHING STANDARDS FOR QUALIFIED AUTISM SERVICE
    14  PROVIDERS. FOR PURPOSES OF IMPLEMENTING THIS SECTION, AND
    15  NOTWITHSTANDING ANY OTHER PROVISION OF LAW, SECRETARY OF PUBLIC
    16  WELFARE SHALL PROMULGATE REGULATIONS PURSUANT TO SECTION
    17  204(1)(IV) OF THE ACT OF JULY 31, 1968 (P.L.769, NO.240),
    18  REFERRED TO AS THE COMMONWEALTH DOCUMENTS LAW, WHICH SHALL, FOR
    19  120 DAYS FROM THE EFFECTIVE DATE OF THIS ACT, BE EXEMPT FROM ALL
    20  THE FOLLOWING ACTS:
    21     (1)  SECTION 205 OF THE COMMONWEALTH DOCUMENTS LAW.
    22     (2)  SECTION 204(B) OF THE ACT OF OCTOBER 15, 1980 (P.L.950,
    23  NO.164), KNOWN AS THE "COMMONWEALTH ATTORNEYS ACT."
    24     (3)  THE ACT OF JUNE 25, 1982 (P.L.633, NO.181), KNOWN AS THE
    25  "REGULATORY REVIEW ACT."
    26  ONCE THE REGULATIONS ARE PROMULGATED, PAYMENT FOR THE TREATMENT
    27  OF AUTISM SPECTRUM DISORDERS COVERED UNDER THIS SECTION SHALL
    28  ONLY BE MADE TO AUTISM SERVICE PROVIDERS WHO MEET THE STANDARDS.
    29     (H)  TO THE EXTENT THAT THE DIAGNOSIS AND TREATMENT OF AUTISM
    30  SPECTRUM DISORDERS ARE NOT ALREADY COVERED BY THE HEALTH
    20070H1150B2237                 - 10 -     

     1  INSURANCE POLICY OR GOVERNMENT PROGRAM, COVERAGE UNDER THIS
     2  SECTION SHALL BE INCLUDED IN HEALTH INSURANCE POLICIES AND
     3  CONTRACTS UNDER A GOVERNMENT PROGRAM WHICH ARE DELIVERED,
     4  EXECUTED, ISSUED, AMENDED, ADJUSTED OR RENEWED ON OR AFTER ONE
     5  HUNDRED TWENTY DAYS FROM THE EFFECTIVE DATE OF THIS SECTION,
     6  EXCEPT THAT THE APPLICABILITY OF THIS SECTION TO GOVERNMENT
     7  PROGRAMS SHALL BE CONTINGENT UPON FEDERAL APPROVAL IF NECESSARY.
     8     SECTION 2116.1.  TREATMENT OF AUTISM SPECTRUM DISORDERS.--(A)
     9  EXCEPT FOR GOVERNMENT PROGRAMS, IF AN ENROLLEE HAS OBTAINED A
    10  REFERRAL OR OTHER AUTHORIZATION THROUGH UTILIZATION REVIEW FROM
    11  A MANAGED CARE PLAN OR A LICENSED INSURER TO RECEIVE ANY CARE,
    12  TREATMENT, INTERVENTION, SERVICE OR ITEM FOR AN AUTISM SPECTRUM
    13  DISORDER FROM A HEALTH CARE PROVIDER OR SPECIALIST, THE REFERRAL
    14  OR OTHER AUTHORIZATION SHALL CONSTITUTE A STANDING REFERRAL FOR
    15  ANY SUBSEQUENT CARE, TREATMENT, INTERVENTION, SERVICE OR ITEM
    16  PROVIDED BY ANY HEALTH CARE PROVIDER OR SPECIALIST UNTIL THE
    17  CARE, TREATMENT, INTERVENTION, SERVICE OR ITEM FOR WHICH THE
    18  REFERRAL OR AUTHORIZATION WAS APPROVED HAS REACHED ITS
    19  CONCLUSION.
    20     (B)  IF A HEALTH CARE PROVIDER PROVIDES CARE, TREATMENTS,
    21  INTERVENTIONS, SERVICES OR ITEMS TO AN ENROLLEE, THE COVERAGE OF
    22  WHICH IS REQUIRED UNDER SECTION 635.2 AND THE PROVIDER IS
    23  ENROLLED IN THE COMMONWEALTH'S MEDICAL ASSISTANCE PROGRAM BUT IS
    24  NOT A NETWORK PROVIDER WITH THE ENROLLEE'S PRIVATE INSURANCE
    25  PLAN, THE PROVIDER SHALL BE REIMBURSED UNDER THE TERMS AND
    26  CONDITIONS APPLICABLE TO THE PLAN'S PARTICIPATING PROVIDERS.
    27  THIS REQUIREMENT SHALL NOT BE SUBJECT TO ANY TIME LIMITATION OR
    28  TRANSITION PERIOD, BUT SHALL OTHERWISE BE IN ACCORD WITH ALL
    29  TERMS APPLICABLE TO NONPARTICIPATING PROVIDERS UNDER THE MANAGED
    30  CARE CONTINUITY OF CARE PROVISIONS THEN IN EFFECT.
    20070H1150B2237                 - 11 -     

     1     SECTION 2.  SECTION 2121 OF THE ACT, ADDED JUNE 17, 1998
     2  (P.L.464, NO.68), IS AMENDED TO READ:
     3     SECTION 2121.  PROCEDURES.--(A)  A MANAGED CARE PLAN SHALL
     4  ESTABLISH A CREDENTIALING PROCESS TO ENROLL QUALIFIED HEALTH
     5  CARE PROVIDERS AND CREATE AN ADEQUATE PROVIDER NETWORK. THE
     6  PROCESS SHALL BE APPROVED BY THE DEPARTMENT AND SHALL INCLUDE
     7  WRITTEN CRITERIA AND PROCEDURES FOR INITIAL ENROLLMENT, RENEWAL,
     8  RESTRICTIONS AND TERMINATION OF CREDENTIALS FOR HEALTH CARE
     9  PROVIDERS.
    10     (B)  [THE] EXCEPT AS PROVIDED UNDER SUBSECTION (B.1), THE
    11  DEPARTMENT SHALL ESTABLISH CREDENTIALING STANDARDS FOR MANAGED
    12  CARE PLANS. THE DEPARTMENT MAY ADOPT NATIONALLY RECOGNIZED
    13  ACCREDITING STANDARDS TO ESTABLISH THE CREDENTIALING STANDARDS
    14  FOR MANAGED CARE PLANS.
    15     (B.1)  PURSUANT TO SECTION 635.2(G), THE DEPARTMENT OF PUBLIC
    16  WELFARE SHALL ESTABLISH STANDARDS TO BE UTILIZED BY MANAGED CARE
    17  PLANS FOR THE CREDENTIALING OF HEALTH CARE PROVIDERS PROVIDING
    18  CARE, TREATMENTS, INTERVENTIONS, SERVICES OR ITEMS TO ENROLLEES
    19  FOR AN AUTISM SPECTRUM DISORDER AS DEFINED UNDER SECTION 635.2.
    20  IN ADDITION, THE DEPARTMENT MAY REQUIRE THAT A MANAGED CARE PLAN
    21  GRANT CREDENTIALS TO ANY HEALTH CARE PROVIDER WHOM THE
    22  DEPARTMENT OF PUBLIC WELFARE DETERMINES MEETS OR EXCEEDS THE
    23  DEPARTMENT OF PUBLIC WELFARE'S CREDENTIALING STANDARDS.
    24     (B.2)  WITH RESPECT TO AUTISM SERVICE PROVIDERS, A MANAGED
    25  CARE PLAN OR LICENSED INSURER SHALL INFORM CREDENTIALING
    26  APPLICANTS OF A DECISION WITHIN NINETY DAYS AFTER THE COMPLETE
    27  APPLICATION HAS BEEN SUBMITTED TO THE MANAGED CARE PLAN OR
    28  INSURER. A MANAGED CARE PLAN OR INSURER SHALL NOT REQUIRE A
    29  HEALTH CARE PROVIDER TO SUBMIT AN APPLICATION FOR CREDENTIALING
    30  AS A RESULT OF A CHANGE OF EMPLOYERS IF THE PROVIDER'S NEW
    20070H1150B2237                 - 12 -     

     1  EMPLOYER IS IN THE MANAGED CARE PLAN'S SERVICE AREA OR NETWORK.
     2     (C)  A MANAGED CARE PLAN SHALL SUBMIT A REPORT TO THE
     3  DEPARTMENT REGARDING ITS CREDENTIALING PROCESS AT LEAST EVERY
     4  TWO (2) YEARS OR AS MAY OTHERWISE BE REQUIRED BY THE DEPARTMENT.
     5     (D)  A MANAGED CARE PLAN SHALL DISCLOSE RELEVANT
     6  CREDENTIALING CRITERIA AND PROCEDURES TO HEALTH CARE PROVIDERS
     7  THAT APPLY TO PARTICIPATE OR THAT ARE PARTICIPATING IN THE
     8  PLAN'S PROVIDER NETWORK. A MANAGED CARE PLAN SHALL ALSO DISCLOSE
     9  RELEVANT CREDENTIALING CRITERIA AND PROCEDURES PURSUANT TO A
    10  COURT ORDER OR RULE. ANY INDIVIDUAL PROVIDING INFORMATION DURING
    11  THE CREDENTIALING PROCESS OF A MANAGED CARE PLAN SHALL HAVE THE
    12  PROTECTIONS SET FORTH IN THE ACT OF JULY 20, 1974 (P.L.564,
    13  NO.193), KNOWN AS THE "PEER REVIEW PROTECTION ACT."
    14     (E)  NO MANAGED CARE PLAN SHALL EXCLUDE OR TERMINATE A HEALTH
    15  CARE PROVIDER FROM PARTICIPATION IN THE PLAN DUE TO ANY OF THE
    16  FOLLOWING:
    17     (1)  THE HEALTH CARE PROVIDER ENGAGED IN ANY OF THE
    18  ACTIVITIES SET FORTH IN SECTION 2113(C).
    19     (2)  THE HEALTH CARE PROVIDER HAS A PRACTICE THAT INCLUDES A
    20  SUBSTANTIAL NUMBER OF PATIENTS WITH EXPENSIVE MEDICAL
    21  CONDITIONS.
    22     (3)  THE HEALTH CARE PROVIDER OBJECTS TO THE PROVISION OF OR
    23  REFUSES TO PROVIDE A HEALTH CARE SERVICE ON MORAL OR RELIGIOUS
    24  GROUNDS.
    25     (F)  IF A MANAGED CARE PLAN DENIES ENROLLMENT OR RENEWAL OF
    26  CREDENTIALS TO A HEALTH CARE PROVIDER, THE MANAGED CARE PLAN
    27  SHALL PROVIDE THE HEALTH CARE PROVIDER WITH WRITTEN NOTICE OF
    28  THE DECISION. THE NOTICE SHALL INCLUDE A CLEAR RATIONALE FOR THE
    29  DECISION.
    30     SECTION 3.  THIS ACT SHALL TAKE EFFECT IN 180 DAYS.
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