PRINTER'S NO. 670

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

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.








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