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SENATE DOCKET, NO. 694 FILED ON: 1/14/2025
SENATE . . . . . . . . . . . . . . No. 704
The Commonwealth of Massachusetts
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PRESENTED BY:
John J. Cronin
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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
An Act relative to the use of virtual credit cards by dental insurance providers.
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PETITION OF:
NAME:DISTRICT/ADDRESS :John J. CroninWorcester and MiddlesexJoanne M. ComerfordHampshire, Franklin and Worcester1/28/2025Meghan K. Kilcoyne12th Worcester1/28/2025Jason M. LewisFifth Middlesex3/5/2025 1 of 3
SENATE DOCKET, NO. 694 FILED ON: 1/14/2025
SENATE . . . . . . . . . . . . . . No. 704
By Mr. Cronin, a petition (accompanied by bill, Senate, No. 704) of John J. Cronin, Joanne M.
Comerford, Meghan K. Kilcoyne and Jason M. Lewis for legislation relative to the use of virtual
credit cards by dental insurance providers. Financial Services.
The Commonwealth of Massachusetts
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In the One Hundred and Ninety-Fourth General Court
(2025-2026)
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An Act relative to the use of virtual credit cards by dental insurance providers.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
of the same, as follows:
1 Chapter 140D of the General Laws as most recently appearing amended by inserting after
2section 28 the following sections:-
3 Section 29: A contract between a dental insurer and a dental care provider to provide
4dental care services to the insurer's enrollees may not restrict the method of payment from the
5dental insurer to the dental care provider in which the only acceptable payment method is a credit
6card payment, and if a dental insurer initiates said payment via credit card, it may only be with
7the approved consent of the dental care provider.
8 If said dental care provider elects not to accept a method of payment, that decision will
9remain in effect until the dental care provider elects to receive a different method of payment or
10until a new contract is executed.
11 Furthermore, if the dental care provider accepts the use of electronic funds transfer
12payments, including virtual credit card payments, the dental insurer shall do the following: 2 of 3
13 1. Notify the dental care provider if any fee is associated with a particular payment
14method.
15 2. Advise the dental care provider of the available methods of payment and provide clear
16instructions to the dental care provider as to how to select an alternative payment method.
17 3. Remit or associate with each payment the explanation of benefits.
18 A dental insurer that initiates or changes payment to a dental care provider using the
19dental care electronic funds transfers and a remittance advice transaction pursuant to 45 Code of
20Federal Regulations sections 162.1601 and 162.1602 may not charge a fee solely to transmit the
21payment to a dental care provider unless the dental care provider has consented to the fee. A
22dental care provider agent may charge reasonable fees when transmitting an electronic funds
23transfer or automatic clearing house related to transaction management, data management, portal
24services and other value-added services above and beyond the bank transmittal.
25 For the purposes of this section:
26 1. "Electronic funds transfer payment" means a payment by any method of electronic
27funds transfer other than a standard dental care electronic funds transfers and remittance advice
28transaction pursuant to 45 Code of Federal Regulations sections 162.1601 and 162.1602.
29 2. "Dental care provider" means a person who is licensed, registered or certified as a
30dental care professional under Chapter 112 of the Massachusetts General Laws or a laboratory or
31durable medical equipment provider that furnishes services to an enrollee and that separately
32bills the enrollee for the services. 3 of 3
33 3. "Dental care provider agent" means a person or entity that contracts with a dental care
34provider establishing an agency relationship to process bills for services provided by the dental
35care provider under the terms and conditions of a contract between the agent and dental care
36provider, which may allow the agent to submit bills, request reconsideration, and receive
37reimbursement.
38 4. "Dental insurer" means a disability insurer, group disability insurer, blanket disability
39insurer, dental care services organization, hospital service corporation, medical service
40corporation or hospital, medical, dental and optometric service corporation and includes the
41dental insurer's designee.