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HB 1405 IN
Became Law

Insurance matters.

IN · session 2021 · Assembly / House · bill

A state bill is a proposed law in a state legislature — separate from the U.S. Congress. Learn more →

Introduced Jan 14, 2021

Latest action (Apr 29, 2021) Signed by the Governor

Summary

Allows the office of the secretary of family and social services to apply for a Medicaid state plan amendment to allow school corporations to seek Medicaid reimbursement for medically necessary, school based Medicaid covered services that are provided under federal or state mandates. Specifies possible services for Medicaid reimbursement. Adds physical therapy to the list of services for which a school psychologist may refer a student. Establishes the long term care insurance partnership program and requires the office of the secretary of family and social services to apply before September 1, 2021, for a Medicaid state plan amendment that would: (1) provide for the establishment of the new long term care insurance partnership program and the discontinuance of the current long term care program; and (2) ensure that an individual who purchased a qualified long term care policy under the current program will be eligible for an asset disregard even if the current program is discontinued and even though the policy was issued before the date of the state plan amendment, is not tax qualified, and does not meet the standards of Section 6021 the federal Deficit Reduction Act. Provides that if approval is not given for the state plan amendment, the new long term care insurance partnership program is not established and the office and the department of insurance shall study ways to improve the affordability and cost effectiveness of the current program. Requires an audit examining prescription drug cost sharing for the Medicaid program once every three state fiscal years. Provides that the county sheriff may receive reimbursement from a nonincarcerated person's health coverage for providing nonemergency transport of the person to a facility for a mental health detention. Requires a provider to provide the health records requested by a patient within 30 days after the date the written request is made, unless the provider seeks an extension of not more than 30 days and informs the patient in writing of the reasons for the extension and the date by which the provider will provide the health records. Prohibits the state or a local unit from issuing or requiring a COVID-19 "immunization passport" (a document concerning an individual's immunization status). Allows a nonprofit association of cities and towns to participate in the state aggregate prescription drug purchasing program. Adopts the physical therapy licensure compact. Provides that if a resident insurance producer completed more than 24 hours of credit in continuing education courses before the effective date of the producer's last license renewal, not more than 12 of the excess hours of credit for those continuing education courses may apply toward satisfaction of the continuing education requirement for the producer's next license renewal, subject to certain restrictions. Prohibits a pharmacy benefit manager (PBM) from: (1) imposing limits on a pharmacy's access to medication that differ from those existing for a PBM affiliate; or (2) sharing any covered individual's information, except as permitted by the federal Health Insurance Portability and Accountability Act (HIPAA). Prohibits the inclusion of certain provisions in a contract between a PBM and an entity authorized to participate in the federal 340B Drug Pricing Program, with certain exceptions. Requires a PBM: (1) to update the PBM's maximum allowable cost list at least every seven days; (2) to determine that a prescription drug is not obsolete, is generally available for purchase by pharmacies, and is not temporarily unavailable, listed on a drug shortage list, or unable to be lawfully substituted before placing the prescription drug on a maximum allowable cost list. Provides that: (1) if a PBM approves an appeal concerning maximum allowable cost pricing, the PBM must notify each pharmacy in the PBM's network that the maximum allowable cost for the drug has been adjusted; and (2) if a PBM denies an appeal, the PBM must provide the reason for the denial and other information, and the appealing pharmacy or other entity may then file a complaint with the department of insurance (department). Also allows a contracted pharmacy or pharmacy services administrative organization to file a complaint with the department if it believes that its contract with a PBM contains an unlawful contractual provision. Provides that a PBM's violation of these requirements or prohibitions is an unfair or deceptive act or practice in the business of insurance. Amends code sections requiring an insurer to "deliver" or "provide" certain notices within a certain time period to make those sections provide instead that the insurer is required to "mail" the notices. Provides that if a party procures a policy of insurance through an online platform: (1) the party affirmatively consents to have all notices and other documents related to the policy delivered to the party electronically; and (2) other statutory prerequisites to the electronic delivery of notices do not apply. Provides that a merchant or other seller that acts as an agent for purposes of the sale of an auto service contract is not a person contractually obligated under the service contract by virtue of acting as the seller. Provides, as an exception to the general prohibition against rebates, that: (1) an insurer, an employee of an insurer, or a producer may offer and give gifts of limited value in connection with marketing of insurance and may conduct a drawing for prizes of limited value; (2) an insurer, through its employees, affiliates, insurance producers, or third-party representatives, may provide, for free or at a discount, products or services that relate to or are provided in conjunction with a policy and are exclusively intended to educate about, assess, monitor, control, or prevent risk of loss; (3) a person holding an insurance license may offer or provide, for free or for less than fair market value, services that are at least tangentially related to an insurance contract but are not contingent upon the purchase of insurance, subject to certain conditions. Amends the law requiring an insurer to provide 10 days' advance notice to the insurance producer who procured an automobile policy when the insurer intends to cancel or not to renew the policy to make the law applicable only if the insurance producer who procured the policy was an independent insurance producer. Requires the state department of health, in consultation with the department of insurance, the office of the secretary of family and social services, and the Indiana board of pharmacy, to submit to the legislative council a report concerning: (1) best practice guidelines in providing specialty drugs in a manner that ensures the patient's safety; and (2) information concerning any adverse events affecting the safety of patients resulting from the specialty drug protocols of a health carrier or hospital. Requires the legislative services agency to conduct a study of market concentration in Indiana in the health insurance industry, the hospital industry, and five other industries and to present the findings of the study to the combined interim study committees on financial institutions and insurance and public health, behavioral health, and human services, the legislative council, and the governor before December 31, 2022.

Sponsors (4)

4 coauthors / cosponsors

Action history (36)

  1. Jan 14, 2021 Authored by Representative Carbaugh · lower
  2. Jan 14, 2021 First reading: referred to Committee on Financial Institutions and Insurance · lower
  3. Feb 9, 2021 Committee report: amend do pass, adopted · lower
  4. Feb 11, 2021 Representative Lehman added as coauthor · lower
  5. Feb 15, 2021 Representative Campbell added as coauthor · lower
  6. Feb 16, 2021 Second reading: ordered engrossed · lower
  7. Feb 18, 2021 Senate sponsors: Senators Zay, Walker G, Busch · lower
  8. Feb 18, 2021 Third reading: passed; Roll Call 192: yeas 92, nays 1 · lower
  9. Feb 19, 2021 Referred to the Senate · lower
  10. Mar 1, 2021 First reading: referred to Committee on Insurance and Financial Institutions · upper
  11. Apr 1, 2021 Committee report: amend do pass, adopted · upper
  12. Apr 8, 2021 Amendment #4 (Zay) prevailed; voice vote · upper
  13. Apr 8, 2021 Amendment #5 (Bohacek) prevailed; voice vote · upper
  14. Apr 8, 2021 Amendment #2 (Zay) prevailed; voice vote · upper
  15. Apr 8, 2021 Amendment #3 (Zay) prevailed; voice vote · upper
  16. Apr 8, 2021 Second reading: amended, ordered engrossed · upper
  17. Apr 13, 2021 Third reading: passed; Roll Call 425: yeas 47, nays 0 · upper
  18. Apr 14, 2021 Returned to the House with amendments · upper
  19. Apr 14, 2021 Motion to dissent filed · lower
  20. Apr 14, 2021 House dissented from Senate amendments · lower
  21. Apr 14, 2021 House conferees appointed: Carbaugh and Campbell · lower
  22. Apr 14, 2021 House advisors appointed: Lehman, Ellington, Austin and Shackleford · lower
  23. Apr 14, 2021 Senate conferees appointed: Zay and Yoder · upper
  24. Apr 14, 2021 Senate advisors appointed: Walker G and Randolph Lonnie M · upper
  25. Apr 19, 2021 Senator Gaskill added as advisor · upper
  26. Apr 21, 2021 CCR # 1 filed in the House · lower
  27. Apr 21, 2021 CCR # 1 filed in the Senate · upper
  28. Apr 22, 2021 Rules Suspended. Conference Committee Report 1: adopted by the House; Roll Call 502: yeas 88, nays 10 · lower
  29. Apr 22, 2021 Rules Suspended. Conference Committee Report 1: adopted by the Senate; Roll Call 488: yeas 48, nays 1 · upper
  30. Apr 22, 2021 Rule 105.1 suspended · lower
  31. Apr 22, 2021 Representatives Barrett and Clere added as coauthors · lower
  32. Apr 23, 2021 Signed by the President Pro Tempore · upper
  33. Apr 28, 2021 Signed by the President of the Senate · upper
  34. Apr 28, 2021 Signed by the Speaker · lower
  35. Apr 29, 2021 Public Law 196 · lower
  36. Apr 29, 2021 Signed by the Governor · executive
Subjects
HEALTH, Health Care Costs; Health InsuranceHEALTH, Long Term CareWELFARE, Medicaid

Text versions (5)

The published texts of this bill as it moves through the legislature. Each links to the official document on the state legislature site. Data from OpenStates.

  • Enrolled House Bill (H) · Apr 22, 2021 · PDF
  • Introduced House Bill (H) · Jan 12, 2021 · PDF
  • House Bill (H) · Feb 9, 2021 · PDF
  • House Bill (S) · Apr 1, 2021 · PDF
  • Engrossed House Bill (S) · Apr 8, 2021 · PDF

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