North Carolina 2025 2025-2026 Regular Session

North Carolina Senate Bill S536 Amended / Bill

Filed 03/26/2025

                    GENERAL ASSEMBLY OF NORTH CAROLINA 
SESSION 2025 
S 	1 
SENATE BILL 536 
 
 
Short Title: Birth Freedom Act. 	(Public) 
Sponsors: Senators Chitlik and Murdock (Primary Sponsors). 
Referred to: Rules and Operations of the Senate 
March 26, 2025 
*S536 -v-1* 
A BILL TO BE ENTITLED 1 
AN ACT TO ENACT THE BIRTH FREEDOM ACT. 2 
The General Assembly of North Carolina enacts: 3 
SECTION 1.(a) G.S. 58-3-170 reads as rewritten: 4 
"§ 58-3-170.  Requirements for maternity coverage. 5 
(a) Every entity providing a health benefit plan that provides maternity coverage in this 6 
State shall provide benefits for the necessary care and treatment related to maternity that are no 7 
less favorable than benefits for physical illness generally. 8 
… 9 
(c) All health benefit plans providing maternity coverage shall ensure that this coverage 10 
includes all necessary services and care for births occurring, or planned to occur, under the 11 
supervision of a qualified healthcare provider, at home or at a birthing center." 12 
SECTION 1.(b) This section is effective October 1, 2025, and applies to insurance 13 
contracts issued, renewed, or amended on and after that date. 14 
SECTION 2. The Department of Health and Human Services, Division of Health 15 
Benefits, shall ensure that beneficiaries of the Medicaid program have access to all of the 16 
necessary services and care for births occurring, or planned to occur, at home or at a birthing 17 
center and shall provide reimbursement for these services in the same manner as other maternity 18 
coverage. A rate equal to ninety percent (90%) of the average commercial rate shall be paid for 19 
these services. These services shall be added as soon as possible on or after July 1, 2025. 20 
SECTION 3.(a) G.S. 135-48.51 reads as rewritten: 21 
"§ 135-48.51.  Coverage and operational mandates related to Chapter 58 of the General 22 
Statutes. 23 
The following provisions of Chapter 58 of the General Statutes apply to the State Health Plan: 24 
(1) G.S. 58-3-170, Requirements for maternity coverage. 25 
(1a) G.S. 58-3-191, Managed care reporting and disclosure requirements. 26 
…." 27 
SECTION 3.(b) Effective July 1, 2025, there is appropriated from the General Fund 28 
to the Department of State Treasurer the sum of one hundred fifty thousand dollars ($150,000) 29 
in nonrecurring funds for the 2025-2026 fiscal year to be used to create greater access to 30 
maternity care provided at birthing centers in this State under the North Carolina State Health 31 
Plan for Teachers and State Employees (State Health Plan). Incentives to be considered by the 32 
Board of Trustees of the State Health Plan shall ultimately result in cost-savings to the State 33 
Health Plan and may include subsidies not to exceed one thousand five hundred dollars ($1,500) 34 
for maternity care at a birthing center and reimbursement rates for these services that are no lower 35  General Assembly Of North Carolina 	Session 2025 
Page 2  Senate Bill 536-First Edition 
than ninety percent (90%) of the average commercial rate paid to hospitals for the same or similar 1 
maternity care services. 2 
SECTION 3.(c) Subsection (a) of this section applies as of the start of the next plan 3 
year following the effective date of this act. 4 
SECTION 4. Except as otherwise provided, this act is effective when it becomes 5 
law. 6