THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY ROHRER, BEAR, BELFANTI, CLYMER, CREIGHTON, CUTLER, FAIRCHILD, GEIST, HALUSKA, HUTCHINSON, W. KELLER, KORTZ, MANN, MELIO, MILLER, MUSTIO, O'NEILL, ROAE, SIPTROTH, VULAKOVICH AND WANSACZ, APRIL 3, 2009

REFERRED TO COMMITTEE ON INSURANCE, APRIL 3, 2009  

AN ACT

Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An

act relating to insurance; amending, revising, and

consolidating the law providing for the incorporation of

insurance companies, and the regulation, supervision, and

protection of home and foreign insurance companies, Lloyds

associations, reciprocal and inter-insurance exchanges, and

fire insurance rating bureaus, and the regulation and

supervision of insurance carried by such companies,

associations, and exchanges, including insurance carried by

the State Workmen's Insurance Fund; providing penalties; and

repealing existing laws," further providing for prompt

payment to health care providers of clean claims.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Section 2166(a) of the act of May 17, 1921

(P.L.682, No.284), known as The Insurance Company Law of 1921,

added June 17, 1998 (P.L.464, No.68), is amended to read:

Section 2166.  Prompt Payment of Claims.--(a)  A licensed

insurer or a managed care plan shall pay a clean claim submitted

by a health care provider within forty-five (45) days of receipt

of the clean claim. Where the clean claim is paid in the form of

a negotiable instrument and removed directly to the insured, the

negotiable instrument shall be made payable jointly to the

insured and the health care provider unless the insured, at the

time of service, provides written permission for such negotiable

instrument to be made payable solely to the health care

provider.

* * *

Section 2.  This act shall take effect in 60 days.