HLS 201ES-419 ENGROSSED
2020 First Extraordinary Session
HOUSE CONCURRENT RESOL UTION NO. 26
BY REPRESENTATIVE BROWN
INSURANCE/HEALTH: Requests a joint subcommittee of the House Committee on
Insurance and Senate Committee on Insurance to undertake a study to make
recommendations for proposed legislation relative to balance or surprise billing in
Louisiana
1 A CONCURRENT RESOL UTION
2To authorize and request the chairmen of the House Committee on Insurance and the Senate
3 Committee on Insurance, acting jointly, to appoint a joint subcommittee composed
4 of members from each committee to research, study, and make recommendations for
5 proposed legislation and policy changes to address the issue of balance or surprise
6 billing in Louisiana.
7 WHEREAS, consumers continue to struggle with healthcare costs which are greatly
8exacerbated by surprise gaps in their insurance coverage; and
9 WHEREAS, balance billing, sometimes referred to as surprise billing, occurs when
10a physician or other healthcare provider who does not participate in a health benefit plan's
11network of providers bills a patient for the difference between the provider's billed charge
12and any amount paid to the provider; and
13 WHEREAS, the practice of balance billing arises with out-of-network providers,
14because in-network providers are generally bound by network agreements that require the
15participating provider to accept the payment under the health benefit plan, in addition to any
16required cost-sharing payment, as full payment for the covered patient's obligations; and
17 WHEREAS, hospitals generally do not require all healthcare providers who work at
18the hospital to be participating providers in the same health benefit plans as the hospital; and
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HCR NO. 26
1 WHEREAS, providers of certain medical specialties, including emergency care and
2anesthesiology, often work in a hospital as independent contractors rather than as the
3hospital's employees; and
4 WHEREAS, many consumers face unexpected and unaffordable out-of-network
5medical bills without knowledge that their providers were out-of-network at the time they
6received care; and
7 WHEREAS, even when patients make every effort to see healthcare providers in
8their insurance network, situations may arise where they are treated by out-of-network
9providers without their knowledge and consent; and
10 WHEREAS, because out-of-network providers may charge higher rates but are not
11required to disclose this information, patients can find themselves recovering from a serious
12disease or illness while facing higher than anticipated out-of-pocket medical costs; and
13 WHEREAS, these medical costs can result in aggressive collection activity targeted
14at patients and their families and harm consumers by damaging their personal credit ratings
15for years after treatment; and
16 WHEREAS, several states have passed laws to protect healthcare consumers from
17surprise insurance gaps; thus, consumers are protected from receiving a balance bill; and
18 WHEREAS, there is insufficient protection in Louisiana law from surprise insurance
19gaps relative to other states, and it is beneficial to conduct a study into how these laws are
20working in other states and how these laws may be beneficial to Louisiana residents.
21 THEREFORE, BE IT RESOLVED that the Legislature of Louisiana does hereby
22authorize and request the chairmen of the House Committee on Insurance and the Senate
23Committee on Insurance, acting jointly, to appoint a joint subcommittee composed of
24members from each committee to research, study, and make recommendations for proposed
25legislation and policy changes to address the issue of balance or surprise billing in Louisiana.
26 BE IT FURTHER RESOLVED that the joint subcommittee shall be composed of six
27members with equal representation from each standing committee, and the members of the
28joint subcommittee shall elect a chairman by majority vote at the subcommittee's first
29meeting.
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HCR NO. 26
1 BE IT FURTHER RESOLVED that the joint subcommittee shall do all of the
2following:
3 (1) Study the issues related to balance billing that must be addressed to provide
4solutions to balance billing and related issues.
5 (2) Assess the impact to commerce, including cost to consumers through balance
6billing and health insurance premiums, compliance cost for healthcare providers, and
7compliance cost for health insurers.
8 (3) Assess the need for direct payment by health insurance companies and health
9maintenance organizations to out-of-network providers.
10 (4) Seek best practices for providing health services price transparency.
11 (5) Evaluate the approaches and solutions taken by other states in order to
12recommend a comprehensive legislative solution that will best protect Louisiana consumers
13from balance billing by healthcare providers.
14 (6) Assess the potential fiscal impact to this state of applying the various potential
15approaches used in other states.
16 (7) Identify preferable legislative solutions for this state that best address the
17problem without a fiscal impact to this state.
18 BE IT FURTHER RESOLVED that in undertaking the study, the joint subcommittee
19shall conduct public hearings and seek input from the Louisiana Department of Insurance
20and may request research, documents, or data and take any other actions it deems necessary
21to carry out its functions.
22 BE IT FURTHER RESOLVED that the joint subcommittee shall also seek input,
23recommendations, and advice from the following:
24 (1) State medical and behavioral health services provider associations.
25 (2) Not-for-profit organizations representing hospitals and other healthcare systems,
26including the Louisiana Hospital Association.
27 (3) Representatives of health insurance companies, including health maintenance
28organizations, issuing health benefit plans in this state.
29 (4) Representatives of health insurance underwriters groups.
30 (5) Representatives of health insurance agents.
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HCR NO. 26
1 (6) Two patient-focused consumer advocate groups.
2 BE IT FURTHER RESOLVED that the joint subcommittee shall report its findings
3and recommendations to the Legislature of Louisiana including any proposed legislation
4prior to the convening of the next 2020 Extraordinary Session but no later than September
530, 2020.
6 BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the
7commissioner of insurance.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HCR 26 Engrossed 2020 First Extraordinary Session Brown
Requests the chairmen of the House Committee on Insurance and the Senate Committee on
Insurance to jointly appoint a subcommittee composed of members from each committee to
research, study, and make recommendations for proposed legislation and policy changes to
address the issue of balance or surprise billing in Louisiana.
Requests a written report and any proposed legislation prior to the convening of the next
2020 Extraordinary Session but no later than Sept. 30, 2020.
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Insurance to the
original bill:
1. Require the joint subcommittee to seek input from representatives of health
insurance agents.
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