CA AB1742

Requires health care service plans to authorize and permit assignment of enrollees' reimbursement rights to providers furnishing services, with providers required to submit itemized bills and enrollee information to receive payment.

Extends assignment requirements to both group and individual health care service plans, except specialized health care service plan contracts as defined in Health and Safety Code Section 1345(o).

Requires disability insurers to pay individual insurance medical benefits directly to healthcare providers on and after January 1, 2013, when providers submit itemized bills and required policyholder information, excluding specialized health insurance policies.

Limits reimbursement amounts to the benefit covered by the policy and specifies that payment discharges the insurer's obligation.

Clarifies that no state reimbursement is required for local agencies or school districts under the California Constitution because costs are limited to criminal law changes under Government Code Section 17556.