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Committee advances bill to extend telehealth pay parity through 2026

Assembly Health Committee · December 16, 2024
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Summary

The Assembly Health Committee released AB 3853 with amendments to extend pay parity for telemedicine and telehealth services to July 1, 2026; hospitals, children’s hospitals and professional societies testified in favor, citing access and technology costs.

The Assembly Health Committee on its final meeting advanced AB 3853, which extends coverage and payment parity for health care services delivered through telemedicine or telehealth to July 1, 2026 under committee amendments.

Christine Stearns of the New Jersey Hospital Association told the committee the association "strongly support[s] this legislation," saying hospitals make significant investments in secure technology and deliver the same overhead and clinical services whether care is in person or virtual. "The virtual...cost is virtually the same," she said, arguing parity helps maintain access and supports providers.

Jess Boyle, senior director of digital care model transformation and digital health at Children’s Hospital of Philadelphia, said CHOP provides pediatric care across multiple New Jersey sites and that digital services supplement in‑person specialty care, bringing consultations to families who otherwise face long drives. "Reimbursement parity is critical for maintaining access to this care," Boyle said.

Multiple professional societies and health systems registered support in the record, and several committee members, including Vice Chair Lampitt, recounted long‑running work on telehealth and praised the bill’s continuation of parity established during the COVID‑19 pandemic.

The committee moved AB 3853 as amended and recorded affirmative votes; the bill was released for further legislative consideration.

Why it matters: Supporters said parity preserves access—especially for pediatric, rural and mobility‑limited patients—by making virtual visits financially sustainable for providers who maintain in‑person infrastructure.

Next steps: AB 3853 was released from committee and will proceed to the Assembly calendar.