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AR HB1272

Bill

Status

Passed

4/11/2023

Primary Sponsor

Lee Johnson

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Origin

House of Representatives

94th General Assembly (2023 Regular)

AI Summary

  • Prohibits healthcare insurers from leasing, renting, or selling healthcare contracts or provider networks to other insurers or third-party administrators, or allowing their use by such entities in any manner.

  • Violations of the prohibition are classified as unfair trade practices under Arkansas law and subject to the Trade Practices Act, with violating contract provisions rendered void.

  • Permits sharing of provider networks with affiliates or entities operating under the same brand licensee program without restriction.

  • Allows exceptions to the prohibition if the insurer provides notice of intent to lease/rent/sell, gives healthcare providers the opportunity to opt out, and provides contact information for the entity using the network.

  • Amends definitions in the Healthcare Contracting Simplification Act to include dental-only plans as health benefit plans and healthcare insurers, and defines "affiliate" as an entity that controls, is controlled by, or shares common control with a healthcare insurer.

Legislative Description

To Amend The Healthcare Contracting Simplification Act; And To Prohibit A Healthcare Insurer From Leasing A Healthcare Contract Or Provider Network.

Last Action

Notification that HB1272 is now Act 576

4/11/2023

Committee Referrals

Insurance & Commerce4/3/2023
Insurance and Commerce1/26/2023

Full Bill Text

No bill text available