Kentucky 2024 2024 Regular Session

Kentucky House Bill HB489 Introduced / Bill

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AN ACT relating to air ambulance memberships. 1 
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2 
SECTION 1.   A NEW SECTION OF KRS CHAPTER 367 IS CREATED TO 3 
READ AS FOLLOWS: 4 
(1) As used in this section: 5 
(a) "Air ambulance membership agreement": 6 
1. Means an agreement in exchange for consideration to pay for, 7 
indemnify, or provide an amount to a member for the cost of air 8 
ambulance services; and 9 
2. Does not include a health insurance policy, certificate, plan, or 10 
contract that is regulated under KRS Chapter 304; 11 
(b) "Air ambulance membership organization" means an individual or entity 12 
that sells, offers, or provides an air ambulance membership agreement; and 13 
(c)_ "Member" means an individual who is entitled to benefits under an air 14 
ambulance membership agreement. 15 
(2) An air ambulance membership organization shall not knowingly sell, offer, or 16 
provide an air ambulance membership agreement to an individual who is 17 
enrolled to receive Medicaid benefits under KRS Chapter 205. 18 
(3) (a) A member that becomes a Medicaid enrollee under KRS Chapter 205 19 
during the duration of an air ambulance membership agreement may notify 20 
the air ambulance membership organization of the enrollment. 21 
(b) An air ambulance membership organization that receives a notification 22 
under paragraph (a) of this subsection shall: 23 
1. Terminate the air ambulance membership agreement with the member 24 
within thirty (30) days of receipt of the notice; and 25 
2. If the notification is received within thirty (30) days following the 26 
effective date of the member's Medicaid enrollment, provide the 27  UNOFFICIAL COPY  	24 RS BR 818 
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member a prorated refund of any consideration paid for the air 1 
ambulance membership agreement, starting on the effective date of 2 
the Medicaid enrollment. 3 
(4) (a) All air ambulance membership agreement websites, brochures, and 4 
marketing material shall include the following disclosures, or alternatively, 5 
a clear and conspicuous hyperlink that leads to the following disclosures: 6 
"The air ambulance membership agreement is a membership plan and is 7 
not insurance coverage. 8 
The Kentucky Medicaid program covers air ambulance transport services 9 
and requires no out-of-pocket expense by the enrollee for air 10 
ambulance transport services. 11 
Some state laws prohibit Medicaid beneficiaries from being offered air 12 
ambulance memberships or being accepted into air ambulance 13 
membership programs. If an individual submits an air ambulance 14 
membership agreement application, the applicant must attest to the 15 
fact that the applicant is not currently, nor plans to be, enrolled in 16 
Medicaid." 17 
(b) All air ambulance membership agreement applications shall include the 18 
following disclosures: 19 
"The air ambulance membership agreement is a membership plan and is 20 
not insurance coverage. 21 
The Kentucky Medicaid program covers air ambulance transport services 22 
and requires no out-of-pocket expense by the enrollee for air 23 
ambulance transport services. 24 
Some state laws prohibit Medicaid beneficiaries from being offered air 25 
ambulance memberships or being accepted into air ambulance 26 
membership programs. If an individual submits an air ambulance 27  UNOFFICIAL COPY  	24 RS BR 818 
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membership agreement application, the applicant must attest to the 1 
fact that the applicant is not currently, nor plans to be, enrolled in 2 
Medicaid. If the applicant is not currently enrolled in Medicaid, but 3 
becomes enrolled at any time during the duration of the membership 4 
agreement, then the applicant must notify the air ambulance 5 
membership organization within thirty (30) days of enrollment. If the 6 
applicant timely notifies the air ambulance membership organization 7 
of such enrollment, then the air ambulance membership organization 8 
must provide the applicant a prorated refund of any consideration 9 
paid for the air ambulance membership agreement." 10 
(c) The disclosures required under paragraphs (a) and (b) of this subsection 11 
shall be displayed in at least twelve (12) point Times New Roman font. 12 
(5) (a) If a Medicaid enrollee under KRS Chapter 205 believes that an individual 13 
or entity has violated this section, the enrollee may submit a complaint with 14 
any and all information pertinent to the allegation to the Attorney General. 15 
(b) If, upon receipt of the complaint, the Attorney General finds that a violation 16 
of this section occurred, the Attorney General may seek any remedies that 17 
are available under this chapter for acts declared unlawful by KRS 367.170. 18 
(c) All of the investigative and enforcement powers provided to the Attorney 19 
General under KRS 367.110 to 367.300 and 367.990, pertaining to acts 20 
declared unlawful by KRS 367.170, shall apply with equal force and effect 21 
to a violation of this section. 22