PRINTER'S NO. 670
No. 603 Session of 1993
INTRODUCED BY COY, KING, NICKOL, BOYES, LAUGHLIN, SCHULER, COLAFELLA, ITKIN, NAILOR, RIEGER AND MAYERNIK, MARCH 22, 1993
REFERRED TO COMMITTEE ON INSURANCE, MARCH 22, 1993
AN ACT 1 Providing for joint payment for health care service contractors. 2 The General Assembly of the Commonwealth of Pennsylvania 3 hereby enacts as follows: 4 Section 1. Joint payment by health care service contractors. 5 (a) General rule.--Notwithstanding any provision of any 6 health care service contract, whenever such contract provides 7 for payments to subscribers for a service which may be legally 8 performed by a person licensed under the laws of this 9 Commonwealth for the practice of medicine, osteopathy, 10 dentistry, chiropractic, podiatry, optometry or physical 11 therapy, the payments shall be made jointly payable to the 12 subscriber and the provider of the service to require 13 endorsement by each. 14 (b) Exceptions.--The joint payment required pursuant to 15 subsection (a) shall not apply in the following instances: 16 (1) The health care service contractor, voluntarily or 17 under the terms of an agreement with the subscriber or the
1 provider, makes direct payment in the single name of the 2 provider. 3 (2) Evidence of prepayment to the provider is submitted 4 as part of a claim for payment to the health care service 5 contractor, in which case payment shall be made in the single 6 name of the subscriber. 7 Section 2. Policies. 8 The provisions of this act shall apply to all policies of 9 insurance and self-insured sickness, health or welfare plans 10 providing health care benefits, including contracts entered into 11 by a health plan corporation granted a certificate of authority 12 under the provisions of 40 Pa.C.S. Pt. III Art. A (relating to 13 health plan corporations). 14 Section 3. Applicability. 15 This act shall apply to a contract for health care services 16 issued or renewed after the effective date of this act. 17 Section 4. Effective date. 18 This act shall take effect in 60 days. A26L40BIL/19930H0603B0670 - 2 -