PAYMENT OF HEALTH CARE BENEFITS - S.B. 696 (S-1): FLOOR ANALYSIS
Senate Bill 696 (Substitute S-1 as reported)
Sponsor: Senator Bill Schuette
Committee: Health Policy
CONTENT
The bill would amend the Nonprofit Health Care Corporation Reform Act, which regulates Blue Cross and Blue Shield of Michigan (BCBSM), to provide that the provisions of Senate Bill 694 would apply to BCBSM; and delete a provision that interest on a payment claim accrues at a rate of 12% per year, if BCBSM does not pay the claim within 60 days after receiving a claim form. The bill is tie-barred to Senate Bill 694, which would require the Insurance Commissioner to establish timely claims processing and payment procedures.
Senate Bill 696 (S-1) would take effect January 1, 2001, and would apply to all health care claims submitted for payment after December 31, 2000.
MCL 550.1403 - Legislative Analyst: G. Towne
FISCAL IMPACT
According to the Insurance Bureau, the fiscal impact of Senate Bills 694 (S-4), 696 (S-1), and 698 (S-1) is indeterminate. The additional responsibilities that would be required of the Bureau could require an increase of staff and other administrative costs.
Date Completed: 3-13-00 - Fiscal Analyst: M. Tyszkiewicz
floor\sb696 - Analysis available @ http://www.michiganlegislature.org
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.