Senate Bill 2080c1

CODING: Words stricken are deletions; words underlined are additions.



    Florida Senate - 1998                           CS for SB 2080

    By the Committee on Banking and Insurance; and Senator
    Sullivan




    311-2183-98

  1                      A bill to be entitled

  2         An act relating to health care; amending s.

  3         641.315, F.S.; revising the notice requirements

  4         for termination of contracts between health

  5         maintenance organizations and providers;

  6         amending s. 641.51, F.S.; requiring health

  7         maintenance organizations to provide a

  8         subscriber with continued access to a treating

  9         physician terminated by the organization;

10         providing limitations; providing an effective

11         date.

12

13  Be It Enacted by the Legislature of the State of Florida:

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15         Section 1.  Subsections (6) and (7) of section 641.315,

16  Florida Statutes, are amended to read:

17         641.315  Provider contracts.--

18         (6)(a)  For all provider contracts executed after

19  October 1, 1998 1991, and within 180 days after October 1,

20  1991, for contracts in existence as of October 1, 1991:

21         1.  The contracts must provide that the provider shall

22  provide 90 60 days' advance written notice to the health

23  maintenance organization and the department before canceling

24  the contract with the health maintenance organization for any

25  reason; and

26         2.  The contract must also provide that nonpayment for

27  goods or services rendered by the provider to the health

28  maintenance organization shall not be a valid reason for

29  avoiding the 90-day 60-day advance notice of cancellation.

30         (b)  For all provider contracts executed after October

31  1, 1998, 1996, and within 180 days after October 1, 1996, for

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1998                           CS for SB 2080
    311-2183-98




  1  contracts in existence as of October 1, 1996, the contracts

  2  must provide that the health maintenance organization will

  3  provide 90 60 days' advance written notice to the provider and

  4  the department before canceling, without cause, the contract

  5  with the provider, except in a case in which a patient's

  6  health is subject to imminent danger or a physician's ability

  7  to practice medicine is effectively impaired by an action by

  8  the Board of Medicine or other governmental agency.

  9         (7)  Upon receipt by the health maintenance

10  organization of a 90-day 60-day cancellation notice, the

11  health maintenance organization may, if requested by the

12  provider, terminate the contract in less than 90 60 days if

13  the health maintenance organization is not financially

14  impaired or insolvent.

15         Section 2.  Subsection (7) of section 641.51, Florida

16  Statutes, is amended to read:

17         641.51  Quality assurance program; second medical

18  opinion requirement.--

19         (7)  When an organization terminates a contract with a

20  treating physician licensed under chapter 458, chapter 459,

21  chapter 460, or chapter 461, for any reason other than for

22  cause, the Each organization shall allow subscribers for whom

23  the terminated physician was a treating physician to continue

24  care for 60 days with the a terminated treating physician

25  through completion of treatment of a condition for which the

26  subscriber was receiving care at the time of the termination

27  until the subscriber selects another treating physician, or

28  until the next open enrollment period offered by the

29  organization, whichever occurs first, but no longer than 1

30  year after termination of the physician contract, provider

31  when medically necessary, provided the subscriber has a

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1998                           CS for SB 2080
    311-2183-98




  1  life-threatening condition or a disabling and degenerative

  2  condition.  Each organization shall allow a subscriber who is

  3  in the third trimester of pregnancy to continue care with a

  4  terminated treating physician provider until completion of

  5  postpartum care. For care continued under this subsection, the

  6  organization and the physician provider shall continue to be

  7  bound by the terms of the terminated contract for such

  8  continued care. This subsection shall not apply to treating

  9  physicians providers who have been terminated by the

10  organization for cause.

11         Section 3.  This act shall take effect October 1, 1998.

12

13          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
14                         Senate Bill 2080

15

16  Increases the time period from 60 to 90 days when advance
    written notice must be provided prior to cancellation of
17  provider contracts by either a health maintenance organization
    (HMO) or the provider, applicable to all HMO provider
18  contracts executed after October 1, 1998.

19  Increases the maximum time period from 60 days to 1 year as
    the required period for a HMO to continue care for subscribers
20  with life-threatening or disabling and degenerative conditions
    who are under the treatment of a physician who is terminated
21  by a HMO, applicable to contracts by HMOs with a treating
    physician licensed under chapter 458 (physicians), chapter 459
22  (osteopathic physicians), chapter 460 (chiropractic
    physicians), or chapter 461 (podiatric physicians), as
23  compared to the current law's application to any "provider."

24  Deletes the bill's provisions prohibiting a managed care plan
    from terminating a health care provider contract without a
25  hearing, if requested by a health care provider.

26  Deletes the bill's provisions declaring it to be an unfair or
    deceptive act if a HMO takes any adverse action against a
27  provider for communicating information to the provider's
    patient regarding medical care or treatment options.
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