Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Consumer Protection Insurance topic
No spam. Unsubscribe anytime.
House amends substitute HB12 to tighten timing for health‑claim settlements; ERISA preemption raised
Summary
Floor debate on Substitute House Bill 12 produced multiple amendments to require insured claims be paid within 15 days when properly submitted, replace 'responsibility' with 'liability' in one clause, and consider inclusion of self‑insured plans; members raised federal preemption concerns under ERISA during debate.
Substitute House Bill 12, addressing the timing and settlement of health‑insurance claims, drew extensive floor amendment activity. Representative Glenn Brown proposed a revised amendment package to replace language from a January 24 pink sheet with an updated January 27 version that extended a claim‑settlement period to 15 days for valid and properly completed claims.
Members questioned whether the amendments would change the fiscal note or create ERISA preemption conflicts with self‑insured plans. Representative Franson warned that state regulation of ERISA‑covered plans can be preempted by federal law, while others pointed to South Carolina language that uses a similar approach as precedent. Representative Rose successfully moved a change substituting the word "liability" for "responsibility" to strengthen protections for beneficiaries in appeals of Medicare payment determinations.
The House adopted several floor amendments; the chamber opened voting on the amended substitute bill at the close of the session. Sponsors said they would seek further fiscal‑note review if questions remained and indicated willingness to coordinate with counsel on ERISA concerns.
