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Committee advances assignment-of-benefits bill aimed at easing access to substance-use disorder treatment
Summary
SB2425 would require health plans to honor a patient's assignment of benefits to residential and detox substance-use disorder providers, a change advocates say will prevent families from fronting tens of thousands in costs; insurers warned of fraud risk but indicated pathways to pay providers directly are being explored.
Proponents of SB2425 including treatment providers and family advocates told the committee the bill is narrow and focused on OCA‑licensed residential and detoxification substance-use disorder (SUD) providers. Elliot Smith, CEO of Ohana Addiction Treatment Center, said many families must come up with large sums up front — sometimes "$30,000 or more" — to get a loved one into care because reimbursements are sent to patients rather than providers. "This is a…
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