Tennessee 2023-2024 Regular Session

Tennessee House Bill HB2632

Introduced
1/31/24  

Caption

AN ACT to amend Tennessee Code Annotated, Title 8, Chapter 27 and Title 56, Chapter 7, Part 6, relative to covered persons insured under state healthcare plans.

Impact

The enactment of HB2632 is expected to have significant implications for healthcare expenditures within the state. By instituting a rebate system, the bill encourages both state healthcare plans and covered individuals to engage in more cost-effective healthcare decisions. The rebates are structured to offer substantial financial benefits not only to the patients but also aimed at generating savings for state-run healthcare plans, thus impacting the overall financial management of state healthcare resources. Moreover, it shifts a part of the cost burden from the state to individual healthcare users, which might change the landscape of healthcare affordability.

Summary

House Bill 2632 aims to amend various sections of the Tennessee Code regarding state healthcare plans, particularly focusing on the introduction of an incentive program for covered persons. According to the bill, the incentive program will provide rebates to individuals who receive major medical treatments at a cost lower than the average allowed amount, thereby promoting cost-effective choices in healthcare. The intention is to create a more encouraging environment for individuals to seek competitive healthcare services that are cost-efficient, which could potentially lead to reduced overall expenses for state healthcare plans.

Sentiment

Discussions surrounding HB2632 reflect a generally positive sentiment towards promoting cost-saving mechanisms in healthcare, particularly among legislators who prioritize economic efficiency. Supporters argue that it incentivizes patients to be more proactive in seeking cost-effective treatment options. However, there remains some concern regarding whether these incentives might disproportionately impact individuals who already face barriers in accessing affordable healthcare, raising questions about their long-term effectiveness and potential unintended consequences.

Contention

Key points of contention regarding HB2632 include discussions concerning the potential risks associated with incentivizing patients to pursue lower-cost medical options. Critics raise concerns that while cost savings are beneficial, such measures could lead to compromises in care quality or availability, particularly for emergency medical services. There are also apprehensions about the administrative overhead of the incentive program and the fairness of requiring individuals to manage their healthcare costs actively alongside potential healthcare disparities.

Companion Bills

TN SB2811

Crossfiled AN ACT to amend Tennessee Code Annotated, Title 8, Chapter 27 and Title 56, Chapter 7, Part 6, relative to covered persons insured under state healthcare plans.

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AN ACT to amend Tennessee Code Annotated, Title 8, Chapter 27 and Title 56, Chapter 7, Part 6, relative to covered persons insured under state healthcare plans.

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AN ACT to amend Tennessee Code Annotated, Title 8, Chapter 27 and Title 56, Chapter 7, Part 6, relative to covered persons insured under state healthcare plans.

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