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House of Representatives
Session of 2021 - 2022 Regular Session


Posted: March 30, 2021 02:05 PM
From: Representative Tina M. Davis and Rep. Perry S. Warren
To: All House members
Subject: Prohibiting Patient Brokering
We trust that the care given to our ailing loved ones is offered by highly trained professionals who have their best interests in mind. There are some facilities, however, that prey on patients in their most vulnerable state in order to sustain shady business practices.In March 2019, Liberation Way, a for-profit out-treatment drug rehabilitation center in my area, was closed by the attorney general following an investigation that showed the company had defrauded private insurers out of over $100 million with ineffective treatment and unnecessary testing. This was done through patient brokering. 

Patient brokering is the act of recruiting patients for a kickback or other benefit paid by the referred service or facility. These kickbacks are often funded by fraudulently acquired insurance reimbursements, which can raise the cost of health insurance for everyone, and worst, put the lives of those in dire need of effective treatment in danger. My legislation would put an end to this practice in Pennsylvania by criminalizing patient brokering to and from health care providers and facilities, drug and alcohol treatment facilities and recovery houses, and assisted living residences.

Patients in need of live-saving and -sustaining services deserve more than to slip through the cracks created by the greed and deceit of bad actors. By supporting this important legislation, you have the opportunity to stop this practice and save countless lives.