| 
                |||
| 1 | A bill to be entitled | ||
| 2 | An act relating to the provision of health care services; | ||
| 3 | specifying conditions under which a health care provider | ||
| 4 | must be permitted to participate as a service provider | ||
| 5 | under a health plan offered by a managed care | ||
| 6 | organization; defining the term "managed care | ||
| 7 | organization"; providing for civil penalties; amending s. | ||
| 8 | 627.419, F.S.; providing for construction of policies; | ||
| 9 | providing for application; providing an effective date. | ||
| 10 | |||
| 11 | Be It Enacted by the Legislature of the State of Florida: | ||
| 12 | |||
| 13 | Section 1. Health care provider as an authorized service | ||
| 14 | provider; penalties.-- | ||
| 15 | (1) A managed care organization must allow any health care | ||
| 16 | provider to participate as a service provider under a health | ||
| 17 | plan offered by the managed care organization if the health care | ||
| 18 | provider agrees to: | ||
| 19 | (a) Accept the reimbursement rates negotiated by the | ||
| 20 | managed care organization with other health care providers that | ||
| 21 | provide the same service under the health plan; and | ||
| 22 | (b) Comply with all guidelines relating to quality of care | ||
| 23 | and utilization criteria which must be met by other employee or | ||
| 24 | nonemployee providers. | ||
| 25 | (2) As used in this section, the term "managed care | ||
| 26 | organization" means a health maintenance organization or prepaid | ||
| 27 | health clinic certified under chapter 641, Florida Statutes, a | ||
| 28 | health insurer that issues an exclusive provider organization | ||
| 29 | policy under section 627.6472 or section 627.662(9), Florida | ||
| 30 | Statutes, or a health insurer that issues a preferred provider | ||
| 31 | organization policy under section 627.6472 or section | ||
| 32 | 627.662(8), Florida Statutes. | ||
| 33 | (3) A managed care organization that violates subsection | ||
| 34 | (1) is subject to a civil fine in the amount of: | ||
| 35 | (a) Up to $25,000 for each violation; or | ||
| 36 | (b) If the Director of Health Care Administration | ||
| 37 | determines that the entity has engaged in a pattern of | ||
| 38 | violations of subsection (1), up to $100,000 for each violation. | ||
| 39 | Section 2. Subsection (10) is added to section 627.419, | ||
| 40 | Florida Statutes, to read: | ||
| 41 | 627.419 Construction of policies.-- | ||
| 42 | (10)(a) Any health insurance policy, health care services | ||
| 43 | plan, or other contract that provides for payment for medical | ||
| 44 | expense benefits or procedures must allow any health care | ||
| 45 | provider to participate as a service provider under a health | ||
| 46 | plan offered by the health insurance policy, health care | ||
| 47 | services plan, or other contract that provides for payment for | ||
| 48 | medical expense benefits or procedures if the health care | ||
| 49 | provider agrees to: | ||
| 50 | 1. Accept the reimbursement rates negotiated by the health | ||
| 51 | insurance policy, health care services plan, or other contract | ||
| 52 | that provides for payment for medical expense benefits or | ||
| 53 | procedures with other health care providers that provide the | ||
| 54 | same service under the health plan; and | ||
| 55 | 2. Comply with all guidelines relating to quality of care | ||
| 56 | and utilization criteria which must be met by other providers | ||
| 57 | with whom the health insurance policy, health care services | ||
| 58 | plan, or other contract that provides for payment for medical | ||
| 59 | expense benefits or procedures has contractual arrangements for | ||
| 60 | those services. | ||
| 61 | (b) The provider of any health insurance policy, health | ||
| 62 | care services plan, or other contract that violates paragraph | ||
| 63 | (a) is subject to a civil fine in the amount of: | ||
| 64 | 1. Up to $25,000 for each violation; or | ||
| 65 | 2. If the Insurance Commissioner determines that the | ||
| 66 | provider has engaged in a pattern of violations of paragraph | ||
| 67 | (a), up to $100,000 for each violation. | ||
| 68 | Section 3. Sections 1 and 2 of this act do not apply to | ||
| 69 | any health insurance policy that is in force before the | ||
| 70 | effective date of this act but do apply to such policies at the | ||
| 71 | next renewal period immediately following October 1, 2003. | ||
| 72 | Section 4. This act shall take effect October 1, 2003. | ||