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Committee reports telehealth pay-parity substitute for further consideration; supporters cite rural access

2994843 · April 14, 2025
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Summary

Senate Labor and Commerce received a brief recap and testimony on SB83, which would require insurers to reimburse telehealth services at the same rate as in-person care; the committee reported an HSS committee substitute and sent it forward with recommendations and fiscal notes.

Senate Labor and Commerce on April 14 heard a concise recap of Senate Bill 83, a bill to require pay parity between telehealth and in-person health services for insurance reimbursement. Sponsor Senator Matt Klayman told the committee SB83 would require insurers to reimburse telehealth at the same rate as in-person care and said the bill aligns Alaska with more than 33 other states and with practices already in Alaska's Medicaid program.

"This bill will ensure fair reimbursement for telehealth, which became a standard practice highlighted by the COVID-19 pandemic," Senator Matt Klayman said in his recap, adding the policy aims to reduce barriers to care "particularly for individuals in rural areas, those with disabilities and those with limited transportation."

Emily Neenan, Alaska government relations director for the American Cancer Society Cancer Action Network, testified in support and described telehealth as especially critical in Alaska where patients may otherwise need to fly to Anchorage for routine consultations. "For the patient, it can mean the difference between flying back to Anchorage for a consultation versus making decisions at home," Neenan said, and she urged the committee to support the legislation to modernize Alaska's telehealth statute.

There was no extended committee debate on the floor. The committee moved to report the Health and Social Services Committee substitute for SB83 (identified on the record as version 34-LS0413\O) "from committee with individual recommendations and attached fiscal notes." No roll-call vote was recorded in the hearing transcript; the chair announced the substitute was reported from committee with individual recommendations and fiscal notes attached.

The committee closed public testimony after receiving the invited remarks and signaled further legislative steps by reporting the substitute bill. Division of Insurance and retirement/benefits officials were available to answer questions, and the committee record notes the substitute includes attached fiscal notes that will travel with the bill.