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Committee orders study of insurer coverage for recovery housing after provider testimony
Summary
SB 18 03, an amendment directing the Department of Commerce and Insurance to study insurance coverage and reimbursement models for recovery housing, won committee approval after testimony from Sean Baker of Freeman Recovery Center who cited cost and outcome studies and urged an evidence-based approach.
Senator Jackson explained SB 18 03 as an amendment directing the commissioner of the Department of Commerce and Insurance to study how neighboring states address substance use disorder treatment and recovery housing through coverage and reimbursement methods, with a report due to the General Assembly by 12/31/2026. The sponsor said the bill does not mandate a specific benefit design but seeks to gather evidence and recommend approaches.
Sean Baker, founder and CEO of Freeman Recovery Center in Dixon, testified in support and summarized evidence that recovery housing can reduce costly crisis care and produce net economic benefits. "Research on recovery residents has found a net economic benefit of roughly $14,000 per person per year compared with more intensive care," Baker said, and added that housing costs at his facility are far lower than treatment costs. After hearing testimony and questions, the committee adopted the amendment and moved SB 18 03 to the calendar (eight ayes).
