Committee hears bill to require clearer disclosures for air-ambulance memberships, and refund option for Medicaid enrollees

Representative Brandon Phillips introduced House Bill 9 91 to improve transparency in the air-ambulance membership market and to protect Missouri Medicaid (MoHealthNet) enrollees. He told the committee that some membership products can mislead consumers into believing they provide guaranteed coverage, and that membership boundaries and weather, base location, or dispatch decisions can leave a member without service. The bill would require membership providers to include three disclosures in marketing and applications: that the product is a membership and not insurance; that MoHealthNet already covers air ambulance transport with no out-of-pocket cost for enrollees; and that some state laws prohibit offering memberships to Medicaid beneficiaries. The bill would also let enrollees request a prorated refund of unused membership fees if they enroll in Medicaid within 30 days of buying a membership.

Air Methods (Aaron Bradshaw) testified in support of measures to protect MoHealthNet enrollees and said Air Methods generally opposes or does not sell memberships and has pursued in‑network agreements; Bradshaw said Air Methods' national average out-of-pocket cost for patients is roughly $150–$200. He said the bill would target bad actors and would not prevent legitimate providers from operating.

Representatives of membership providers (testifying for AirVac/Aravac) testified in opposition or urged changes. A company witness said their membership covers an entire household for a modest annual fee and argued memberships protect consumers from large bills; the witness said their company does not sell memberships to MoHealthNet enrollees and that applications already attempt to verify Medicaid status. The witness raised concerns about the bill's operational effects, for example automatic cancellation requirements and strict-liability enforcement language: if a member becomes enrolled in Medicaid because they temporarily lose a job, automatic cancellation could leave that household without coverage when they later return to non‑Medicaid status.

Committee members pressed on details including how often dispatch availability leaves members without coverage, whether reciprocal arrangements exist among providers, and how frequently Medicaid enrollees actually purchase memberships; Representative Butts asked for data about the scope of sales to MoHealthNet enrollees and the sponsor said he would try to obtain the figures. Representatives and witnesses discussed possible edits, including narrowing enforcement language and clarifying refund/cancellation mechanics.

The hearing closed with the committee thanking the sponsor; no formal vote was taken during the hearing segment in the transcript.