Out-of-network health care benefits.
By mandating that patients must consent in writing or electronically at least 72 hours before receiving out-of-network services, AB 510 aims to protect consumers from unexpected costs. Additionally, the bill requires that this consent also informs patients of the availability of contracted providers who may offer cheaper alternatives. This could lead to patients making more informed decisions about their health care options, potentially reducing out-of-pocket expenses when selecting noncontracted services.
Assembly Bill 510, introduced by Assembly Member Wood, amends sections of the Health and Safety Code and Insurance Code concerning health care coverage, specifically regarding out-of-network health care benefits. The bill modifies the existing conditions under which noncontracting health professionals can bill patients directly for out-of-network services. Previously, consent for such billing was required 24 hours in advance, but this bill extends that time frame to 72 hours. It aims to enhance patient awareness and security when opting for noncontracted services from health professionals.
The provisions of AB 510 could raise concerns among healthcare providers and insurers about the feasibility and implications of these requirements. Providers may argue that the additional consent requirement could complicate care delivery and affect their ability to treat patients timely, while insurers might be concerned about the cost implications of out-of-network billing limitations. Furthermore, this bill will not apply to emergency services, which is another point that may provoke discussion about the balance between patient protection and provider flexibility.