Senate Bill No. 230, introduced by Senator Kleinpeter, aims to establish new regulations regarding the recovery of past medical expenses in Louisiana. The bill enacts R.S. 22:1839, which defines "health insurance coverage" and "usual and customary rate." It stipulates that for claims related to past health care service expenses paid through health insurance, the payment will be limited to the health issuer's liability. Additionally, the recovery of these expenses will be capped at the lesser of the actual amount paid to a healthcare provider or the usual and customary rate, which is defined as 120% of the applicable Medicare reimbursement rate or 170% of the applicable state Medicaid rate if no Medicare rate exists.

The bill also specifies that these provisions will not apply to certain cases related to medical malpractice and will only have prospective application, meaning they will not affect causes of action filed before the effective date of January 1, 2026. This legislation seeks to clarify the limits on health care expense recovery and ensure that payments align with established rates, thereby potentially impacting how health care providers and insurers handle claims in the future.