Act 348, HB 196

• Session: 2003 Regular Session
• Year: 2003

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HB196

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52367-6

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By Representative Black (M)

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RFD: Health

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First Read: 04-MAR-03

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HB196

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ENROLLED, An Act,

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To amend Section 27-1-17, Code of Alabama 1975,

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relating to the payment of claims, to prohibit insurers,

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health service corporations, and health benefit plans from

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requiring refunds of paid claims after 12 months from the date

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the health care claim was paid or after the expiration of the

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same period of time that the health care provider is required

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to submit claims pursuant to a contract between the health

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care provider and the insurer, health service corporation, or

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health benefit plan, whichever date occurs first.

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BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:

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Section 1. Section 27-1-17, Code of Alabama 1975, is

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amended to read as follows:

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"§27-1-17.

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"(a) Each insurer, health service corporation, and

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health benefit plan that issues or renews any policy of

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accident or health insurance providing benefits for medical or

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hospital expenses for its insured persons shall pay for

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services rendered by Alabama health care providers within 45

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calendar days upon receipt of a clean written claim or 30

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calendar days upon receipt of a clean electronic claim. If the

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insurer, health service corporation, or health benefit plan is

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denying or pending the claim, the insurer, health service

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corporation, or health benefit plan shall, within 45 calendar

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