S.B. No. 2544 amends Section 1467.054(a) of the Insurance Code to establish a specific timeframe for out-of-network providers to request mandatory mediation for health benefit claims. The new language stipulates that such a request must be made "not later than the 180th day after the date an out-of-network provider receives an initial payment for a health care or medical service or supply." This change replaces the previous provision that allowed for mediation requests without a specified deadline.
The bill also outlines the applicability of these changes, stating that they only pertain to disputes regarding charges for services provided on or after the effective date of the Act. For disputes related to services provided before this date, the existing law will apply if mediation is requested within 120 days after the Act's effective date. If mediation is not requested within that timeframe, the dispute will not be eligible for mediation under the new provisions. The Act is set to take effect immediately upon receiving a two-thirds vote from both houses or on September 1, 2025, if such a vote is not achieved.
Statutes affected: Introduced: Insurance Code 1467.054 (Insurance Code 1467)
Senate Committee Report: Insurance Code 1467.054 (Insurance Code 1467)
Engrossed: Insurance Code 1467.054 (Insurance Code 1467)
House Committee Report: Insurance Code 1467.054 (Insurance Code 1467)
Enrolled: Insurance Code 1467.054 (Insurance Code 1467)