The bill introduces comprehensive regulations for vision benefit plans, insurers, vision benefit managers (VBMs), and vision care providers in Iowa. It establishes new definitions related to vision care and mandates clear reimbursement schedules while prohibiting discrimination in reimbursement amounts among physicians. The legislation requires annual adjustments to reimbursement rates based on the consumer price index and ensures that participating vision care providers are identified neutrally. Additionally, it outlines prohibited conduct for insurers and VBMs, such as requiring providers to participate in multiple plans or retroactively reversing reimbursements, and limits contracts to a two-year term without imposing unfair conditions.

Furthermore, the bill addresses the procedures for mergers and acquisitions involving insurers and VBMs, mandating a defined reenrollment period for vision care providers with a minimum of six months' notice before activating a new plan. It allows providers to opt out of reenrollment without penalty and grants them the right to seek injunctive relief and monetary damages in court for violations. The attorney general is also empowered to act on behalf of affected providers. The bill applies to all relevant contracts and policies issued or renewed in the state after its effective date and authorizes the commissioner of insurance to adopt necessary administrative rules.

Statutes affected:
Introduced: 135.1