This bill amends the Managed Care Law to establish new notice requirements for health carriers regarding changes to contracts with health care providers. Specifically, it mandates that health carriers provide participating providers or facilities with 60 days' notice of proposed contract changes, limited to four times a year on specified dates (January 1, April 1, July 1, and October 1). Exceptions to this requirement include mutual agreement to waive the notice, changes mandated by state or federal regulations, or updates due to changes in procedural terminology codes. Additionally, health carriers must provide both the original and revised contract documents, highlighting changes through underlining and strikethroughs.

Furthermore, if the changes result in an aggregate reimbursement alteration exceeding $500,000 per year across all participating providers, the carrier is required to provide a good faith estimate of the financial impact to each provider and submit this information to the commissioner of insurance for public disclosure. The bill's effective date is set for 60 days after its passage, and it is projected to have a minimal fiscal impact of less than $10,000 annually for the fiscal years 2025 through 2028.

Statutes affected:
Introduced: 420-J:8