Bill Text: MI HB5228 | 2017-2018 | 99th Legislature | Introduced


Bill Title: Insurance; insurers; insurer preventing pharmacist from disclosing price information to consumer; prohibit. Amends sec. 3529 of 1956 PA 218 (MCL 500.3529).

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2017-11-09 - Bill Electronically Reproduced 11/08/2017 [HB5228 Detail]

Download: Michigan-2017-HB5228-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 5228

 

 

November 8, 2017, Introduced by Reps. Rendon and Whiteford and referred to the Committee on Health Policy.

 

     A bill to amend 1956 PA 218, entitled

 

"The insurance code of 1956,"

 

by amending section 3529 (MCL 500.3529), as amended by 2005 PA 306.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3529. (1) A health maintenance organization may contract

 

with or employ health professionals on the basis of cost, quality,

 

availability of services to the membership, conformity to the

 

administrative procedures of the health maintenance organization,

 

and other factors relevant to delivery of economical, quality care,

 

but shall not discriminate solely on the basis of the class of

 

health professionals to which the health professional belongs.

 

     (2) A health maintenance organization shall enter into

 

contracts with providers through which health care services are

 

usually provided to enrollees under the health maintenance

 


organization plan.

 

     (3) An affiliated provider contract shall must prohibit the

 

provider from seeking payment from the enrollee for services

 

provided pursuant to under the provider contract, except that the

 

contract may allow affiliated providers to collect copayments,

 

coinsurances, and deductibles directly from enrollees.

 

     (4) An affiliated provider contract shall must contain

 

provisions assuring all of the following:

 

     (a) The provider meets applicable licensure or certification

 

requirements.

 

     (b) Appropriate access by the health maintenance organization

 

to records or reports concerning services to its enrollees.

 

     (c) The provider cooperates with the health maintenance

 

organization's quality assurance activities.

 

     (d) For a provider that is a pharmacy or pharmacist, that the

 

provider will disclose the current selling price of a drug as

 

provided in section 17757 of the public health code, 1978 PA 368,

 

MCL 333.17757.

 

     (5) The commissioner director may waive the contract

 

requirement under subsection (2) if a health maintenance

 

organization has demonstrated that it is unable to obtain a

 

contract and accessibility to patient care would not be

 

compromised. When If 10% or more of a health maintenance

 

organization's elective inpatient admissions, or projected

 

admissions for a new health maintenance organization, occur in

 

hospitals with which the health maintenance organization does not

 

have contracts or agreements that protect enrollees from liability


for authorized admissions and services, the health maintenance

 

organization may be required to maintain a hospital reserve fund

 

equal to 3 months' projected claims from such hospitals.

 

     (6) A health maintenance organization shall submit to the

 

commissioner director for approval standard contract formats

 

proposed for use with its affiliated providers and any substantive

 

changes to those contracts. The contract format or change is

 

considered approved 30 days after filing unless approved or

 

disapproved within the 30 days. As used in this subsection,

 

"substantive changes to contract formats" means a change to a

 

provider contract that alters the method of payment to a provider,

 

alters the risk assumed by each party to the contract, or affects a

 

provision required by law.

 

     (7) A health maintenance organization or applicant shall

 

provide evidence that it has employed, or has executed affiliation

 

contracts with, a sufficient number of providers to enable it to

 

deliver the health maintenance services it proposes to offer.

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