Bill Text: NY A03789 | 2025-2026 | General Assembly | Introduced


Bill Title: Relates to utilization review program standards; requires use of evidence-based and peer reviewed clinical review criteria; relates to prescription drug formulary changes and pre-authorization for certain health care services.

Spectrum: Moderate Partisan Bill (Democrat 31-7)

Status: (Introduced) 2025-01-30 - referred to insurance [A03789 Detail]

Download: New_York-2025-A03789-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          3789

                               2025-2026 Regular Sessions

                   IN ASSEMBLY

                                    January 30, 2025
                                       ___________

        Introduced  by  M.  of A. WEPRIN, WOERNER, TAYLOR, SANTABARBARA, COLTON,
          LUPARDO, STIRPE, EPSTEIN, PAULIN,  SEAWRIGHT,  SIMON,  LAVINE,  STECK,
          TANNOUSIS, ROSENTHAL, MEEKS, DAVILA, WILLIAMS, LUNSFORD, BORES, PIROZ-
          ZOLO,  KELLES,  R. CARROLL, SIMPSON, BENDETT, REYES, ANGELINO, SAYEGH,
          LEVENBERG, RAMOS, DiPIETRO, GALLAHAN, RAGA, HEVESI,  CLARK,  SHRESTHA,
          CUNNINGHAM,  McMAHON  --  read  once  and referred to the Committee on
          Insurance

        AN ACT to amend the public health law and the insurance law, in relation
          to utilization  review  program  standards  and  pre-authorization  of
          health care services

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1.  Paragraph (c) of subdivision 1  of  section  4902  of  the
     2  public  health  law,  as  added  by  chapter 705 of the laws of 1996, is
     3  amended to read as follows:
     4    (c) Utilization of written clinical review criteria developed pursuant
     5  to a utilization  review  plan.  Such  clinical  review  criteria  shall
     6  utilize  recognized  evidence-based  and  peer  reviewed clinical review
     7  criteria that take into account the needs of  a  typical  patient  popu-
     8  lations and diagnoses;
     9    §  2.  Paragraph  (a)  of  subdivision 2 of section 4903 of the public
    10  health law, as separately amended by section 13 of part YY and section 3
    11  of part KKK of chapter 56 of the laws of 2020, is  amended  to  read  as
    12  follows:
    13    (a)  A utilization review agent shall make a utilization review deter-
    14  mination involving health care services which require  pre-authorization
    15  and  provide  notice  of  a  determination to the enrollee or enrollee's
    16  designee and the enrollee's health care provider  by  telephone  and  in
    17  writing within [three business days] seventy-two hours of receipt of the
    18  necessary information, within twenty-four hours of the receipt of neces-
    19  sary information if the request is for an enrollee with a medical condi-

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD07503-01-5

        A. 3789                             2

     1  tion  that  places the health of the insured in serious jeopardy without
     2  the health care services  recommended  by  the  enrollee's  health  care
     3  professional,  or  for  inpatient  rehabilitation  services following an
     4  inpatient  hospital  admission provided by a hospital or skilled nursing
     5  facility, within one business day of receipt of the  necessary  informa-
     6  tion.  The  notification shall identify[;]: (i) whether the services are
     7  considered in-network or out-of-network; (ii) and whether  the  enrollee
     8  will  be  held  harmless for the services and not be responsible for any
     9  payment, other than any applicable co-payment or co-insurance; (iii)  as
    10  applicable,  the  dollar  amount  the  health  care plan will pay if the
    11  service is out-of-network; and (iv) as applicable, information  explain-
    12  ing how an enrollee may determine the anticipated out-of-pocket cost for
    13  out-of-network  health  care services in a geographical area or zip code
    14  based upon the difference between what the health care plan  will  reim-
    15  burse  for out-of-network health care services and the usual and custom-
    16  ary cost for out-of-network health care  services.  An  approval  for  a
    17  request for pre-authorization shall be valid for (1) the duration of the
    18  prescription,  including  any authorized refills and (2) the duration of
    19  treatment for a specific condition as requested by the enrollee's health
    20  care provider.
    21    § 3. Paragraph 3 of subsection (a) of section 4902  of  the  insurance
    22  law,  as added by chapter 705 of the laws of 1996, is amended to read as
    23  follows:
    24    (3) Utilization of written clinical review criteria developed pursuant
    25  to a utilization  review  plan.  Such  clinical  review  criteria  shall
    26  utilize  recognized  evidence-based  and  peer  reviewed clinical review
    27  criteria that take into account the needs of  a  typical  patient  popu-
    28  lations and diagnoses;
    29    §  4.  Paragraph  1 of subsection (b) of section 4903 of the insurance
    30  law, as separately amended by section 16 of part YY  and  section  7  of
    31  part  KKK  of  chapter  56  of  the  laws of 2020, is amended to read as
    32  follows:
    33    (1) A utilization review agent shall make a utilization review  deter-
    34  mination  involving health care services which require pre-authorization
    35  and provide notice of a determination to the insured or insured's desig-
    36  nee and the insured's health care provider by telephone and  in  writing
    37  within  [three business days] seventy-two hours of receipt of the neces-
    38  sary information, within  twenty-four  hours  of  receipt  of  necessary
    39  information  if  the  request is for an insured with a medical condition
    40  that places the health of the insured in serious  jeopardy  without  the
    41  health  care services recommended by the insured's health care provider,
    42  or for inpatient rehabilitation services following an inpatient hospital
    43  admission provided by a hospital or skilled nursing facility, within one
    44  business day of receipt of the necessary information.  The  notification
    45  shall  identify:  (i)  whether the services are considered in-network or
    46  out-of-network; (ii) whether the insured will be held harmless  for  the
    47  services and not be responsible for any payment, other than any applica-
    48  ble  co-payment,  co-insurance  or  deductible; (iii) as applicable, the
    49  dollar amount the health care plan will pay if the  service  is  out-of-
    50  network;  and  (iv) as applicable, information explaining how an insured
    51  may determine the  anticipated  out-of-pocket  cost  for  out-of-network
    52  health  care  services in a geographical area or zip code based upon the
    53  difference between what the health care plan will reimburse for  out-of-
    54  network  health  care services and the usual and customary cost for out-
    55  of-network health care services. An approval of request for pre-authori-
    56  zation shall  be  valid  for  (1)  the  duration  of  the  prescription,

        A. 3789                             3

     1  including any authorized refills and (2) the duration of treatment for a
     2  specific condition requested for pre-authorization.
     3    § 5. This act shall take effect on the one hundred eightieth day after
     4  it shall have become a law.
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