AB 778 Summary

• Authorizes registered dispensing opticians, optical companies, manufacturers/distributors of optical goods, and nonoptometric corporations to own specialized health care service plans that provide or arrange vision care services, share profits, and jointly advertise with these plans.

• Prohibits these entities from engaging in conduct that would influence or interfere with optometrists' clinical decisions, including requiring eyewear sales, providing compensation for sales, or holding optometrists responsible for sales quotas.

• Requires the Department of Managed Health Care to provide copies of survey information indicating incompetent, negligent, or excessive treatment by optometrists or opticians to the plan and the State Board of Optometry or Medical Board of California.

• Establishes that specialized vision care plans cannot require optometrists to sell affiliated dispensing opticians' eyewear and must provide patient medical records to former optometrists upon written patient authorization within 15 days.

• Specifies that violations are subject to penalties under the Knox-Keene Health Care Service Plan Act and prohibits plans from sharing patient records without legal authorization.