IA HF656

Creates new Iowa Code chapter 514M establishing comprehensive regulations for vision benefit plans, vision benefit managers, and vision care provider contracts

Requires vision benefit managers to be licensed by the Iowa Commissioner of Insurance and mandates clear reimbursement schedules with annual adjustments based on the Consumer Price Index for urban consumers over the most recent five-year period

Prohibits insurers and vision benefit managers from requiring providers to participate in multiple plans as a condition of participation, controlling providers' professional judgment, applying chargebacks for services the insurer did not provide, or retroactively reversing reimbursements when the provider verified eligibility in good faith

Limits provider contracts to two-year terms, requires 90 days' written notice before contract changes with provider written approval, and mandates six months' notice to providers before plan changes following insurer/manager mergers or acquisitions

Allows adversely affected vision care providers to bring court actions for injunctive relief and recover monetary damages, penalties up to $10,000 per violation, and attorney fees; takes effect upon enactment