Bill to require timely payment of clean claims draws support from hospitals and conditional support from plans
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SB 58 45 would tighten timelines for carrier payments of clean claims (pay or deny within 30 days), require clearer notice for incomplete claims, and expand exemptions to include cybersecurity and disaster declarations; hospitals urged passage to stabilize finances.
Lawmakers heard Feb. 18 on SB 58 45, which would require carriers to pay or deny clean claims as soon as practical and no later than 30 days, set definite timelines for notice on non‑clean claims, and authorize penalties for carriers that fail to meet timelines for more than 90 days. Committee staff said the bill codifies and tightens elements of current Office of the Insurance Commissioner rules and expands certain exemptions to include cybersecurity incidents and natural disaster declarations.
Sponsor Vandana Slatter told the committee predictable payment is essential amid system strain and workforce shortages. Hospital and provider witnesses — including Lisa Thatcher of the Washington State Hospital Association and representatives from UW Medicine and Seattle Children's — outlined operational impacts, citing examples where high‑cost claims were paid months or even years late. Evergreen Health and other providers presented data suggesting a substantial portion of the dollar value of clean claims is paid beyond 30 days and described added administrative burdens.
Payers signaled general support but sought a narrow amendment limiting certain provisions to in‑state licensed providers and asked for technical clarifications. Committee members closed public testimony with broad agreement that timeliness and predictability matter; no formal vote was recorded during this meeting.
