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HB424 • 2026

Health insurance; definitions, prohibited restrictions on in-network referrals.

An Act to amend and reenact § 38.2-4319 of the Code of Virginia and to amend the Code of Virginia by adding in Article 1 of Chapter 34 of Title 38.2 a section numbered 38.2-3407.23, relating to health insurance; prohibited restrictions on in-network referrals.

Healthcare
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
LeVere Bolling
Last action
2026-04-13
Official status
Acts of Assembly Chapter
Effective date
Not listed

Plain English Breakdown

The official source material does not provide details on enforcement mechanisms or penalties for violations.

Health Insurance; No Restrictions on In-Network Referrals

This act stops insurance companies from preventing in-network doctors from sending patients or samples to other in-network labs or pathology services, unless it breaks certain laws.

What This Bill Does

  • Defines 'carrier' and 'health plan'.
  • States that no carrier can stop an in-network provider from referring a patient or sample to another in-network lab or pathology service under the terms of such insurance unless such referral would constitute a violation of specific laws.

Who It Names or Affects

  • Health insurance carriers and their policies
  • In-network providers, such as doctors and labs

Terms To Know

Carrier
An entity that provides health insurance coverage to individuals or groups.
In-Network Provider
A healthcare provider who has a contract with an insurance company to provide services at agreed rates.

Limits and Unknowns

  • The bill does not specify what happens if a carrier violates the new rules.
  • It is unclear how this act will be enforced or monitored by regulatory bodies.

Bill History

  1. 2026-04-13 House

    Fiscal Impact Statement from State Corporation Commission (HB424)

  2. 2026-04-06 Governor

    Approved by Governor-Chapter 138 (effective 7/1/2026)

  3. 2026-04-06 Governor

    Approved by Governor-Chapter 138 (effective 7/1/2026)

  4. 2026-04-06 Governor

    Acts of Assembly Chapter text (CHAP0138)

  5. 2026-03-31 House

    Enrolled Bill communicated to Governor on March 31, 2026

  6. 2026-03-31 Governor

    Governor's Action Deadline 11:59 p.m., April 13, 2026

  7. 2026-03-31 House

    Signed by Speaker

  8. 2026-03-31 House

    Enrolled Bill communicated to Governor on March 31, 2026

  9. 2026-03-31 Governor

    Governor's Action Deadline 11:59 p.m., April 13, 2026

  10. 2026-03-30 Senate

    Signed by President

  11. 2026-03-30 House

    Enrolled

  12. 2026-03-30 House

    Bill text as passed House and Senate (HB424ER)

  13. 2026-03-10 Senate

    Read third time

  14. 2026-03-10 Senate

    Read third time

  15. 2026-03-10 Senate

    Passed Senate Block Vote (40-Y 0-N 0-A)

  16. 2026-03-09 Senate

    Rules suspended

  17. 2026-03-09 Senate

    Passed by for the day

  18. 2026-03-09 Senate

    Constitutional reading dispensed Block Vote (on 2nd reading) (40-Y 0-N 0-A)

  19. 2026-03-09 Senate

    Passed by for the day Block Vote (Voice Vote)

  20. 2026-03-06 Finance and Appropriations

    Reported from Finance and Appropriations (14-Y 0-N)

  21. 2026-03-03 Labor and Commerce

    Fiscal Impact Statement from State Corporation Commission (HB424)

  22. 2026-02-23 Commerce and Labor

    Reported from Commerce and Labor and rereferred to Finance and Appropriations (14-Y 0-N)

  23. 2026-02-05 Senate

    Constitutional reading dispensed (on 1st reading)

  24. 2026-02-05 Commerce and Labor

    Referred to Committee on Commerce and Labor

  25. 2026-02-04 House

    Read third time and passed House Block Vote (97-Y 1-N 0-A)

  26. 2026-02-04 House

    Reconsideration of passage agreed to by House

  27. 2026-02-04 House

    Passed House Block Vote (98-Y 0-N 0-A)

  28. 2026-02-03 House

    Read second time

  29. 2026-02-03 House

    committee substitute agreed to

  30. 2026-02-03 House

    Engrossed by House - committee substitute

  31. 2026-02-02 House

    Read first time

  32. 2026-01-29 Labor and Commerce

    Reported from Labor and Commerce with substitute (22-Y 0-N)

  33. 2026-01-29 Labor and Commerce

    Committee substitute printed 26106236D-H1

  34. 2026-01-29 Labor and Commerce

    Substitute bill reprinted 26106236D

  35. 2026-01-27 Subcommittee #1

    Subcommittee recommends reporting with substitute (9-Y 0-N)

  36. 2026-01-27 Subcommittee #1

    House subcommittee offered

  37. 2026-01-19 Subcommittee #1

    Assigned HCL sub: Subcommittee #1

  38. 2026-01-12 House

    Prefiled and ordered printed; Offered 01-14-2026 26102329D

  39. 2026-01-12 Labor and Commerce

    Referred to Committee on Labor and Commerce

Official Summary Text

Health insurance; prohibited restrictions on in-network referrals.
Prohibits a health insurance carrier from prohibiting an in-network provider, as defined in the bill, from referring any enrollee or specimen to any in-network clinical laboratory or in-network pathology service provider under the terms of such insurance unless such referral would constitute a violation of certain laws. This bill is identical to SB 745.

Current Bill Text

Read the full stored bill text
An Act to amend and reenact §
38.2-4319
of the Code of Virginia and to amend the Code of Virginia by adding in Article 1 of Chapter 34 of Title 38.2 a section numbered
38.2-3407.23
, relating to health insurance; prohibited restrictions on in-network referrals.
Be it enacted by the General Assembly of Virginia:
1. That §
38.2-4319
of the Code of Virginia is amended and reenacted and the Code of Virginia is amended by adding in Article 1 of Chapter 34 of Title 38.2 a section numbered
38.2-3407.23
as follows:
§
38.2-3407.23
. Prohibited restrictions on in-network referrals.
A. As used in this section:
"Carrier" has the same meaning as provided in §
38.2-3407.15
. "Carrier" includes any entity administering a policy or plan providing health insurance coverage to state employees pursuant to §
2.2-2818
.
"Health plan" has the same meaning as provided in §
38.2-3407.15
. "Health plan" includes any policy or plan providing health insurance coverage to state employees pursuant to §
2.2-2818
.
"In-network" means a provider that has contracted with a carrier or a carrier's contractor or subcontractor to provide health care services to enrollees and be reimbursed by the carrier at a contracted rate as payment in full for the health care services, including applicable cost-sharing requirements.
B. No carrier, in the provision of individual or group accident and sickness insurance, including any health benefit plan, shall prohibit an in-network provider from referring any enrollee or specimen to any in-network clinical laboratory or in-network pathology service provider under the terms of the health plan unless such referral would constitute a violation of the Practitioner Self-Referral Act (§
54.1-2410
et seq.) or 42 U.S.C. § 1320a-7b.
C. The Commission shall have no jurisdiction to adjudicate individual controversies arising out of this section.
§
38.2-4319
. Statutory construction and relationship to other laws.
A. No provisions of this title except this chapter and, insofar as they are not inconsistent with this chapter, §§
38.2-100
,
38.2-136
,
38.2-200
,
38.2-203
,
38.2-209
through
38.2-213
,
38.2-216
,
38.2-218
through
38.2-225
,
38.2-229
,
38.2-232
,
38.2-305
,
38.2-316
,
38.2-316.1
,
38.2-316.2
,
38.2-322
,
38.2-325
,
38.2-326
,
38.2-400
,
38.2-402
through
38.2-413
,
38.2-500
through
38.2-515
,
38.2-600
through
38.2-629
, Chapter 9 (§
38.2-900
et seq.), §§
38.2-1016.1
through
38.2-1023
,
38.2-1057
, and
38.2-1306.1
, Article 2 (§
38.2-1306.2
et seq.), §
38.2-1315.1
, and Articles 3.1 (§
38.2-1316.1
et seq.), 4 (§
38.2-1317
et seq.), 5 (§
38.2-1322
et seq.), 5.1 (§
38.2-1334.3
et seq.), and 5.2 (§
38.2-1334.11
et seq.) of Chapter 13, Articles 1 (§
38.2-1400
et seq.), 2 (§
38.2-1412
et seq.), and 4 (§
38.2-1446
et seq.) of Chapter 14, Chapter 15 (§
38.2-1500
et seq.), Chapter 17 (§
38.2-1700
et seq.), §§
38.2-1800
through
38.2-1836
,
38.2-3401
,
38.2-3405
,
38.2-3405.1
,
38.2-3406.1
,
38.2-3407.2
through
38.2-3407.6:1
,
38.2-3407.9
through
38.2-3407.20
,
38.2-3411
,
38.2-3411.2
,
38.2-3411.3
,
38.2-3411.4
,
38.2-3412.1
,
38.2-3414.1
,
38.2-3418.1
through
38.2-3418.19
,
38.2-3418.21
,
38.2-3418.22
,
38.2-3419.1
, and
38.2-3430.1
through
38.2-3454
, Articles 8 (§
38.2-3461
et seq.) and 9 (§
38.2-3465
et seq.) of Chapter 34, §
38.2-3500
, subdivision 13 of §
38.2-3503
, subdivision 8 of §
38.2-3504
, §§
38.2-3514.1
,
38.2-3514.2
,
38.2-3522.1
through
38.2-3523.4
,
38.2-3525
,
38.2-3540.1
,
38.2-3540.2
,
38.2-3541.2
,
38.2-3542
, and
38.2-3543.2
, Article 5 (§
38.2-3551
et seq.) of Chapter 35, Chapter 35.1 (§
38.2-3556
et seq.), §
38.2-3610
, Chapter 52 (§
38.2-5200
et seq.), Chapter 55 (§
38.2-5500
et seq.), Chapter 58 (§
38.2-5800
et seq.), Chapter 65 (§
38.2-6500
et seq.), and Chapter 66 (§
38.2-6600
et seq.) shall be applicable to any health maintenance organization granted a license under this chapter. This chapter shall not apply to an insurer or health services plan licensed and regulated in conformance with the insurance laws or Chapter 42 (§
38.2-4200
et seq.) except with respect to the activities of its health maintenance organization.
B. For plans administered by the Department of Medical Assistance Services that provide benefits pursuant to Title XIX or Title XXI of the Social Security Act, as amended, no provisions of this title except this chapter and, insofar as they are not inconsistent with this chapter, §§
38.2-100
,
38.2-136
,
38.2-200
,
38.2-203
,
38.2-209
through
38.2-213
,
38.2-216
,
38.2-218
through
38.2-225
,
38.2-229
,
38.2-232
,
38.2-322
,
38.2-325
,
38.2-400
,
38.2-402
through
38.2-413
,
38.2-500
through
38.2-515
, and
38.2-600
through
38.2-629
, Chapter 9 (§
38.2-900
et seq.), §§
38.2-1016.1
through
38.2-1023
,
38.2-1057
, and
38.2-1306.1
, Article 2 (§
38.2-1306.2
et seq.), §
38.2-1315.1
, Articles 3.1 (§
38.2-1316.1
et seq.), 4 (§
38.2-1317
et seq.), 5 (§
38.2-1322
et seq.), 5.1 (§
38.2-1334.3
et seq.), and 5.2 (§
38.2-1334.11
et seq.) of Chapter 13, Articles 1 (§
38.2-1400
et seq.), 2 (§
38.2-1412
et seq.), and 4 (§
38.2-1446
et seq.) of Chapter 14, §§
38.2-3401
,
38.2-3405
,
38.2-3407.2
through
38.2-3407.5
,
38.2-3407.6
,
38.2-3407.6:1
,
38.2-3407.9
,
38.2-3407.9:01
, and
38.2-3407.9:02
, subsection E of §
38.2-3407.10
, §§
38.2-3407.10:1
,
38.2-3407.11
,
38.2-3407.11:3
,
38.2-3407.13
,
38.2-3407.13:1
,
38.2-3407.14
,

38.2-3407.23
,

38.2-3411.2
,
38.2-3418.1
,
38.2-3418.2
,
38.2-3418.16
,
38.2-3419.1
,
38.2-3430.1
through
38.2-3437
, and
38.2-3500
, subdivision 13 of §
38.2-3503
, subdivision 8 of §
38.2-3504
, §§
38.2-3514.1
,
38.2-3514.2
,
38.2-3522.1
through
38.2-3523.4
,
38.2-3525
,
38.2-3540.1
,
38.2-3540.2
,
38.2-3541.2
,
38.2-3542
, and
38.2-3543.2
, Chapter 52 (§
38.2-5200
et seq.), Chapter 55 (§
38.2-5500
et seq.), Chapter 58 (§
38.2-5800
et seq.), Chapter 65 (§
38.2-6500
et seq.), and Chapter 66 (§
38.2-6600
et seq.) shall be applicable to any health maintenance organization granted a license under this chapter. This chapter shall not apply to an insurer or health services plan licensed and regulated in conformance with the insurance laws or Chapter 42 (§
38.2-4200
et seq.) except with respect to the activities of its health maintenance organization.
C. Solicitation of enrollees by a licensed health maintenance organization or by its representatives shall not be construed to violate any provisions of law relating to solicitation or advertising by health professionals.
D. A licensed health maintenance organization shall not be deemed to be engaged in the unlawful practice of medicine. All health care providers associated with a health maintenance organization shall be subject to all provisions of law.
E. Notwithstanding the definition of an eligible employee as set forth in §
38.2-3431
, a health maintenance organization providing health care plans pursuant to §
38.2-3431
shall not be required to offer coverage to or accept applications from an employee who does not reside within the health maintenance organization's service area.
F. For purposes of applying this section, "insurer" when used in a section cited in subsections A and B shall be construed to mean and include "health maintenance organizations" unless the section cited clearly applies to health maintenance organizations without such construction.