1 | 1 | | 25.87.9 100th Legislative Session 1102 |
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4 | 4 | | 2025 South Dakota Legislature |
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5 | 5 | | House Bill 1102 |
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12 | 12 | | Introduced by: Representative Aylward |
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14 | 14 | | Underscores indicate new language. |
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15 | 15 | | Overstrikes indicate deleted language. |
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16 | 16 | | An Act to require the submission of medical, dental, and pharmaceutical claims data 1 |
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17 | 17 | | to the Division of Insurance and to establish a health care data system. 2 |
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18 | 18 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA: 3 |
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19 | 19 | | Section 1. That a NEW SECTION be added to chapter 58-17K: 4 |
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20 | 20 | | For the purposes of sections 2 to 4, inclusive, of this Act, the following terms mean: 5 |
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21 | 21 | | (1) "Insurer," any person that provides health or dental insurance in this state and is 6 |
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22 | 22 | | subject to the insurance laws of this state; and 7 |
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23 | 23 | | (2) "Third-party administrator," any person required to be licensed or registered in 8 |
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24 | 24 | | accordance with chapter 58-29D. 9 |
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25 | 25 | | Section 2. That a NEW SECTION be added to chapter 58-17K: 10 |
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26 | 26 | | The division shall coordinate the establishment and maintain oversight of a health 11 |
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27 | 27 | | care data system that stores medical, dental, and pharmaceutical claims data for the 12 |
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28 | 28 | | purposes of: 13 |
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29 | 29 | | (1) Health care planning, policy development, policy evaluation, and research by 14 |
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30 | 30 | | federal, state, and local governments; 15 |
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31 | 31 | | (2) Monitoring payments for health services by the federal and state governments; 16 |
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32 | 32 | | (3) Assessing and improving the quality of health care; 17 |
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33 | 33 | | (4) Measuring and optimizing access to health care; 18 |
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34 | 34 | | (5) Supporting public health functions and objectives; 19 |
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35 | 35 | | (6) Improving the ability of insurers, health care providers, and consumers to 20 |
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36 | 36 | | coordinate, improve, and make choices about health care; 21 |
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37 | 37 | | (7) Monitoring costs at provider and plan levels; and 22 |
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38 | 38 | | (8) Providing transparency for health care utilization, expenditures, and performance. 23 |
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39 | 39 | | Section 3. That a NEW SECTION be added to chapter 58-17K: 24 25.87.9 2 1102 |
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40 | 40 | | Underscores indicate new language. |
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41 | 41 | | Overstrikes indicate deleted language. |
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42 | 42 | | An insurer or a third-party administrator shall submit medical, dental, and 1 |
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43 | 43 | | pharmaceutical claims data to the division, at the time and in the manner determined by 2 |
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44 | 44 | | the division, for all individuals covered by: 3 |
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45 | 45 | | (1) A fully insured health or dental plan in any market in this state; 4 |
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46 | 46 | | (2) A self-funded health or dental plan for state or municipal employees; or 5 |
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47 | 47 | | (3) A health plan offered or administered by or on behalf of the federal government. 6 |
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48 | 48 | | Section 4. That a NEW SECTION be added to chapter 58-17K: 7 |
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49 | 49 | | Claims data from a self-funded, employer-sponsored plan must be included in the 8 |
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50 | 50 | | health data system, if the employer has agreed, on a form prescribed by the division, to 9 |
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51 | 51 | | the submission of data. 10 |
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52 | 52 | | An insurer or third-party administrator of a self-funded, employer-sponsored plan 11 |
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53 | 53 | | shall notify the employer of the option to authorize the submission of the claims data to 12 |
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54 | 54 | | the division for inclusion in the health care data system. 13 |
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55 | 55 | | Nothing in this section otherwise imposes any reporting obligation on any self -14 |
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56 | 56 | | funded, employer sponsored plan, or any requirement as to administration of the 15 |
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57 | 57 | | sponsored plan. 16 |
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58 | 58 | | This section does not apply to a self-funded health or dental plan for state or 17 |
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59 | 59 | | municipal employees. 18 |
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60 | 60 | | Section 5. That a NEW SECTION be added to chapter 58-17K: 19 |
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61 | 61 | | The division and the Department of Social Services shall enter a contract for the 20 |
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62 | 62 | | inclusion of medical, dental, and pharmaceutical claims data from the state medicaid 21 |
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63 | 63 | | program in the health care data system. 22 |
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64 | 64 | | Section 6. That a NEW SECTION be added to chapter 58-17K: 23 |
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65 | 65 | | The division may impose a civil penalty against any person who fails to submit 24 |
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66 | 66 | | claims data in accordance with sections 3, 4, and 8 of this Act . The penalty may not 25 |
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67 | 67 | | exceed one thousand dollars per occurrence. The division shall forward any civil penalty 26 |
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68 | 68 | | collected under this section to the state treasurer, for deposit in the state general fund. 27 |
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69 | 69 | | Section 7. That a NEW SECTION be added to chapter 58-17K: 28 |
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70 | 70 | | The division may contract with any person for the establishment and maintenance 29 |
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71 | 71 | | of the health care data system. 30 25.87.9 3 1102 |
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72 | 72 | | Underscores indicate new language. |
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73 | 73 | | Overstrikes indicate deleted language. |
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74 | 74 | | Section 8. That a NEW SECTION be added to chapter 58-17K: 1 |
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75 | 75 | | The division shall promulgate rules pursuant to chapter 1-26 to provide for the 2 |
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76 | 76 | | establishment, maintenance, and use of the health care data system. The rules must 3 |
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77 | 77 | | establish: 4 |
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78 | 78 | | (1) Specific data elements to be reported; 5 |
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79 | 79 | | (2) Criteria for authorizing persons to undertake claims data collection; 6 |
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80 | 80 | | (3) Criteria and procedures for maintaining confidentiality; 7 |
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81 | 81 | | (4) Procedures and requirements governing the structure of the health care data 8 |
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82 | 82 | | system and the reporting, collections, analysis, and quality assurance of claims 9 |
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83 | 83 | | data and information related to the health care data system; 10 |
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84 | 84 | | (5) Procedures and requirements for the dissemination of claims data from the health 11 |
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85 | 85 | | care data system through limited and public use data sets; and 12 |
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86 | 86 | | (6) The form and procedure for an employer to authorize the submission of data in 13 |
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87 | 87 | | accordance with section 4 of this Act. 14 |
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88 | 88 | | Section 9. That a NEW SECTION be added to chapter 58-17K: 15 |
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89 | 89 | | To the extent allowed under the Health Insurance Portability and Accountability 16 |
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90 | 90 | | Act, 42. U.S.C. § 1320 et seq., (January 1, 2025), the division shall make claims data in 17 |
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91 | 91 | | the health care data system available to the public through limited and public use data 18 |
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92 | 92 | | sets. 19 |
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93 | 93 | | The public use data sets must be available on the division's website and must 20 |
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94 | 94 | | contain comparative data sets based on: 21 |
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95 | 95 | | (1) Geography; and 22 |
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96 | 96 | | (2) Demographics. 23 |
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97 | 97 | | Any claims data released must be presented in a manner that no individual may 24 |
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98 | 98 | | be identified. 25 |
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99 | 99 | | Section 10. That a NEW SECTION be added to chapter 58-17K: 26 |
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100 | 100 | | Nothing in sections 2 to 9, inclusive, of this Act, or in any rules promulgated 27 |
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101 | 101 | | thereunder, requires any health care facility, as defined in § 34-12-1.1, to provide any 28 |
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102 | 102 | | information that would violate the provisions of § 36-4-26.1. 29 |
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103 | 103 | | Section 11. That a NEW SECTION be added to chapter 58-17K: 30 25.87.9 4 1102 |
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104 | 104 | | Underscores indicate new language. |
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105 | 105 | | Overstrikes indicate deleted language. |
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106 | 106 | | The data submission requirements in sections 3, 4, and 8 of this Act do not apply 1 |
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107 | 107 | | to: 2 |
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108 | 108 | | (1) Accident insurance; 3 |
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109 | 109 | | (2) Coverage issued as a supplement to liability insurance; 4 |
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110 | 110 | | (3) Credit insurance; 5 |
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111 | 111 | | (4) Disability income insurance; 6 |
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112 | 112 | | (5) Hospital income or indemnity insurance; 7 |
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113 | 113 | | (6) Liability insurance; 8 |
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114 | 114 | | (7) Long-term care insurance; 9 |
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115 | 115 | | (8) A medical payment under automobile or homeowner's insurance; 10 |
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116 | 116 | | (9) A short-term limited duration plan; 11 |
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117 | 117 | | (10) Workers compensation or similar insurance; or 12 |
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118 | 118 | | (11) Vision insurance. 13 |
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119 | 119 | | Section 12. That § 1-43-19 be REPEALED. 14 |
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120 | 120 | | The Department of Health shall coordinate the establishment and maintain 15 |
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121 | 121 | | oversight of a comprehensive health data system for the purposes of: 16 |
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122 | 122 | | (1) Health care planning, policy development, policy evaluation, and research by 17 |
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123 | 123 | | federal, state, and local governments; 18 |
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124 | 124 | | (2) Monitoring payments for health services by the federal and state governments; 19 |
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125 | 125 | | (3) Assessing and improving the quality of health care; 20 |
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126 | 126 | | (4) Measuring and optimizing access to health care; 21 |
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127 | 127 | | (5) Supporting public health functions and objectives; 22 |
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128 | 128 | | (6) Improving the ability of health plans, health care providers, and consumers to 23 |
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129 | 129 | | coordinate, improve, and make choices about health care; and 24 |
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130 | 130 | | (7) Monitoring costs at provider and plan levels. 25 |
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131 | 131 | | Section 13. That § 1-43-20 be REPEALED. 26 |
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132 | 132 | | In establishing a health care data system pursuant to § 1-43-19, the Department 27 |
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133 | 133 | | of Health may by contract or agreement authorize any person or any public or private 28 |
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134 | 134 | | entity or any combination of persons or entities to implement and maintain any portion of 29 |
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135 | 135 | | the health care data system. 30 |
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136 | 136 | | Section 14. That § 1-43-21 be REPEALED. 31 25.87.9 5 1102 |
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137 | 137 | | Underscores indicate new language. |
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138 | 138 | | Overstrikes indicate deleted language. |
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139 | 139 | | The Department of Health shall promulgate rules pursuant to chapter 1-26 to 1 |
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140 | 140 | | provide for the establishment, maintenance, and use of a health care data system 2 |
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141 | 141 | | pursuant to §§ 1-43-19 and 1-43-20. The rules shall include: 3 |
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142 | 142 | | (1) A listing of specific data elements to be reported; 4 |
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143 | 143 | | (2) Criteria for authorizing persons or entities to undertake health care data collection; 5 |
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144 | 144 | | (3) Criteria and procedures for maintaining confidentiality; and 6 |
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145 | 145 | | (4) Procedures and requirements governing the structure and objectives of the health 7 |
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146 | 146 | | care data system and the reporting, collections, analysis, quality assurance, and 8 |
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147 | 147 | | dissemination of data and information related to the health care data system. 9 |
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148 | 148 | | Section 15. That § 1-43-24 be REPEALED. 10 |
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149 | 149 | | Annual reports of data collected pursuant to §§ 1-43-19 to 1-43-21, inclusive, shall 11 |
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150 | 150 | | be available to the public. Any data released shall be presented in a manner such that no 12 |
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151 | 151 | | person may be identified. 13 |
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152 | 152 | | Section 16. That § 1-43-31 be REPEALED. 14 |
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153 | 153 | | Nothing established in §§ 1-43-19 and 1-43-33, or in any rules promulgated 15 |
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154 | 154 | | pursuant thereto requires any health facility as defined in chapter 34-12 to provide any 16 |
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155 | 155 | | information which would violate the provisions of § 36-4-26.1. 17 |
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156 | 156 | | Section 17. That § 1-43-32 be REPEALED. 18 |
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157 | 157 | | Implementation of the comprehensive health data system shall be contingent upon 19 |
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158 | 158 | | the receipt of federal or other funds by the Department of Health or other relevant state 20 |
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159 | 159 | | agencies to the extent necessary to carry out the provisions of §§ 1-43-19 and 1-43-33. 21 |
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160 | 160 | | Section 18. That § 1-43-33 be REPEALED. 22 |
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161 | 161 | | The Department of Health shall promulgate rules, pursuant to chapter 1-26, to 23 |
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162 | 162 | | specify criteria, procedures, and forms for submitting health related data and to establish 24 |
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163 | 163 | | standards for information collection. 25 |
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