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SF0100 • 2024

Prompt payment of insurance claims.

AN ACT relating to the insurance code; providing regulations for payment of claims from insurers or the insurer's intermediary to pharmacies; providing definitions; requiring rulemaking; providing applicability; and providing for effective dates.

Healthcare
Enacted

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

Sponsor
Senator Hutchings
Last action
2024-03-15
Official status
enrolled
Effective date
7/1/2024

Plain English Breakdown

Checked against official source text during the last sync.

Prompt Payment for Insurance Claims to Pharmacies

This law sets rules for insurance companies to pay claims to pharmacies quickly and imposes interest penalties if payments are late.

What This Bill Does

  • Requires insurers to pay clean claims submitted electronically within 21 days, or within 30 days if the claim is not electronic.
  • Imposes a penalty of 18% annual interest on late payments made by insurers.
  • Defines key terms like 'clean claim' and sets rules for when a claim is considered received.
  • Requires the Department of Insurance to create rules to enforce this law.

Who It Names or Affects

  • Insurance companies that have contracts with pharmacies.
  • Pharmacies receiving insurance claims payments from insurers or intermediaries.

Terms To Know

Clean claim
A claim without defects, allowing timely payment.
Applicable number of calendar days
The time limit for paying claims: 21 days if electronic and 30 days otherwise.

Limits and Unknowns

  • This law applies to contracts renewed, amended or entered into on or after July 1, 2024.
  • It does not specify how the interest penalty is calculated beyond the annual rate of 18%.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

SF0100H2001

2nd reading • Representative Stith

Withdrawn

Plain English: The amendment modifies the insurance code to require healthcare providers to submit insurance claims and prohibits agreements that make patients responsible for claim submission.

  • Adds 'and submission' after 'payment' in the bill's catch title.
  • Requires healthcare providers to be responsible for submitting insurance claims to health insurance companies.
  • Prohibits terms between a healthcare provider and patient that require the patient to submit the insurance claim.
  • Inserts new subsection (c) into section 26-15-136, detailing responsibilities of assignees in submitting claims.
  • The amendment text does not specify all details about how healthcare providers will be responsible for claim submission or the penalties for noncompliance.
SF0100SS001

Standing Committee • Senate Corporations, Elections & Political Subdivi

Adopted

Plain English: The amendment changes how quickly insurance claims must be paid by insurers or their intermediaries, specifying faster payment for electronically submitted claims and a deadline of fifteen days for other types of claims.

  • Removes the requirement to pay 'the claim' and replaces it with paying an electronically submitted claim within a shorter timeframe.
  • Adds a provision that requires payment within fifteen days if the claim is not submitted electronically.
  • The amendment text does not specify what happens if a claim is neither electronically submitted nor falls under another submission method, leaving some uncertainty about how claims outside these categories would be handled.

Bill History

  1. 2024-03-15 LSO

    Assigned Chapter Number 73

  2. 2024-03-15 Governor

    Governor Signed SEA No. 0059

  3. 2024-03-08 House

    H Speaker Signed SEA No. 0059

  4. 2024-03-08 Senate

    S President Signed SEA No. 0059

  5. 2024-03-07 LSO

    Assigned Number SEA No. 0059

  6. 2024-03-07 House

    H 3rd Reading:Passed 62-0-0-0-0

  7. 2024-03-06 House

    H 2nd Reading:Passed

  8. 2024-03-05 House

    H COW:Passed

  9. 2024-03-04 House

    H Placed on General File

  10. 2024-03-04 House

    H07 - Corporations:Recommend Do Pass 9-0-0-0-0

  11. 2024-02-27 House

    H Introduced and Referred to H07 - Corporations

  12. 2024-02-23 House

    H Received for Introduction

  13. 2024-02-23 Senate

    S 3rd Reading:Passed 31-0-0-0-0

  14. 2024-02-22 Senate

    S 2nd Reading:Passed

  15. 2024-02-21 Senate

    S COW:Passed

  16. 2024-02-20 Senate

    S Placed on General File

  17. 2024-02-20 Senate

    S07 - Corporations:Recommend Amend and Do Pass 4-0-1-0-0

  18. 2024-02-14 Senate

    S Introduced and Referred to S07 - Corporations 31-0-0-0-0

  19. 2024-02-13 Senate

    S Received for Introduction

  20. 2024-02-12 LSO

    Bill Number Assigned

Official Summary Text

Bill Summary - 24LSO-0338

Bill No.:

SF0100

Effective:

Multiple Dates

LSO No.:

24LSO-0338

Enrolled Act No.:

SEA No. 0059

Chapter No.:

73

Prime Sponsor:

Hutchings

Catch Title:

Prompt payment of insurance claims.

Has Report:

No

Subject:

Providing regulations for payment of insurance claims to pharmacies.

Summary/Major Elements:

This bill requires insurance companies to pay claims without defects to pharmacies within twenty-one (21) days of receiving a claim if the claim is submitted electronically or within thirty (30) days if the claim is submitted in any other manner.

This bill penalizes insurers who do not pay claims within the specified period of time by requiring insurers to pay interest on claims at a rate of eighteen percent (18%) per annum, billed weekly.

This bill provides definitions and requires the Department of Insurance to promulgate rules to implement this bill.

This bill applies to insurance contracts renewed, amended or entered into between insurers and pharmacies beginning on or after July 1, 2024.

The above summary is not an official publication of the Wyoming Legislature and is not an official statement of legislative intent.

While the Legislative Service Office endeavored to provide accurate information in this summary, it should not be relied upon as a comprehensive abstract of the bill.

Current Bill Text

Read the full stored bill text
24LSO-0338

ORIGINAL Senate

File No
.
SF0100

ENROLLED ACT NO. 59,

SENATE

SIXTY-SEVENTH LEGISLATURE OF THE STATE OF WYOMING
2024 Budget Session

AN ACT relating to the insurance code; providing regulations for payment of claims from insurers or the insurer's intermediary to pharmacies; providing definitions; requiring rulemaking; providing applicability; and providing for effective dates.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1
.

W.S. 26
‑
52
‑
201 through 26
‑
52
‑
203 are created to read:

CHAPTER 52
PHARMACY BENEFIT MANAGERS AND PAYMENT OF PHARMACY CLAIMS

ARTICLE 2
PAYMENT OF INSURANCE CLAIMS

26
‑
52
‑
201.

Scope and applicability of chapter.

The following provisions apply to situations where there is a contract between an insurer or the insurer's intermediary and a pharmacy regarding the payment of insurance claims for pharmacy services pursuant to W.S. 26
‑
52
‑
102(a)(ix) submitted to an insurer or the insurer's intermediary.

26
‑
52
‑
202.

Definitions.

(a)

As used in this chapter:

(i)

"Applicable number of calendar days" means:

(A)

For claims submitted electronically, twenty
‑
one (21) days;

(B)

For claims submitted in a manner other than electronically, thirty (30) days.

(ii)

"Clean claim" means a claim that has no defect, including any lack of required substantiating documentation or particular circumstance requiring special treatment that prevents timely payment from being made on the claim under this chapter;

(iii)

"Insurer" means as defined by W.S. 26
‑
1
‑
102(a)(xvi).

26
‑
52
‑
203.

Payment of claims to pharmacy providers.

(a)

A contract between an insurer or the insurer's intermediary and a pharmacy for prescription drug coverage offered by the insurer or the insurer's intermediary shall require the insurer or the insurer's intermediary to make payment to the pharmacy for all clean claims submitted by a pharmacy within the applicable number of calendar days after the date that the clean claim is received. For purposes of this section, a claim is considered to have been received:

(i)

For claims submitted electronically, on the date that the claim is submitted; or

(ii)

For claims submitted in any manner other than electronically, on the fifth day after the postmark date of the claim or the date specified on the time stamp of the transmission of the claim.

(b)

For purposes of this section, a contract between an insurer or the insurer's intermediary and a pharmacy regarding prescription drug coverage offered by an insurer or the insurer's intermediary shall include any contract regarding prescription drug coverage offered by the insurer or the insurer's intermediary under which a pharmacy is legally obligated, either directly or through an intermediary such as a pharmacy benefit manager.

(c)

If the insurer or the insurer's intermediary does not make payment within the applicable number of calendar days after a clean claim is received, or resubmitted under subsections (e) and (f) of this section, the insurer or the insurer's intermediary shall pay interest to the pharmacy at the rate of eighteen percent (18%) per annum, billed weekly.

(d)

A claim shall be considered a clean claim if the insurer or the insurer's intermediary does not provide notice to the pharmacy of any deficiency in the claim within ten (10) days after an electronically submitted claim is received or within fifteen (15) days after a claim that is submitted in any other manner is received.

(e)

If an insurer or the insurer's intermediary determines that a claim submitted is not a clean claim, the insurer or the insurer's intermediary shall notify the pharmacy of the determination within ten (10) days of receiving an electronically submitted claim or within fifteen (15) days of receiving a claim that is submitted in any other manner. The notice shall specify all defects in the claim and list all information or documents necessary for the proper processing and payment of the claim.

(f)

A claim resubmitted to an insurer or the insurer's intermediary with additional information pursuant to subsection (e) of this section shall be considered to be a clean claim if the insurer or the insurer's intermediary fails to provide notice to the pharmacy of any defect in the claim within ten (10) days of the date that additional information is received if the claim is resubmitted electronically or within fifteen (15) days of the date that additional information is received if the claim is resubmitted in any other manner. A resubmitted claim that is considered to be a clean claim under this subsection shall be paid within the applicable number of calendar days after the date that the resubmitted claim is received and, if payment is not timely made, interest shall accrue as provided by subsection (c) of this section.

(g)

Payment of a clean claim under this section shall be considered to have been made on the date that the payment is transferred to the pharmacy provider account, or to the central pay account of the pharmacy services administrative organization that is directly contracted by the pharmacy, with respect to claims paid electronically and on the date that the payment is submitted to the postal service or common carrier for delivery with respect to claims paid in any other manner.

(h)

No insurer shall directly or indirectly charge a pharmacy or hold the pharmacy responsible for fees associated with claims payment.

Section 2
.

W.S. 26
‑
15
‑
124(a) is amended to read:

26
‑
15
‑
124.

Claim to be accepted or rejected; attorney's fee.

(a)

Claims for benefits under a life, accident or health insurance policy shall be rejected or accepted and paid by the insurer or its agent designated to receive the claims within forty
‑
five (45) days after receipt of the proofs of loss and supporting evidence. Exceptions to the time of forty
‑
five (45) days shall be made for accident and health insurance claims if there is any question as to the validity or the amount of the claim and the question is referred to the Wyoming state medical peer review committee for adjudication. Exceptions shall also be made as authorized by W.S. 26
‑
16
‑
112(a)
and 26
‑
52
‑
203
.

Section 3.

The department of insurance shall promulgate all rules necessary to implement this act.

Section 4.

This act shall apply to contracts renewed, amended or entered into between insurers and pharmacies beginning on or after July 1, 2024.

Section 5.

(a)

Except as otherwise provided by subsection (b) of this section, this act is effective July 1, 2024.

(b)

Sections 3 and 5 of this act are effective immediately upon completion of all acts necessary for a bill to become law as provided by Article 4, Section 8 of the Wyoming Constitution.

(END)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the Senate.

Chief Clerk

1