S T A T E O F N E W Y O R K
________________________________________________________________________
6202
2023-2024 Regular Sessions
I N S E N A T E
April 3, 2023
___________
Introduced by Sen. SCARCELLA-SPANTON -- read twice and ordered printed,
and when printed to be committed to the Committee on Health
AN ACT to enact the Health Care Nondiscrimination Act of 2023
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Short title. This act shall be known and may be cited as
the "Health Care Nondiscrimination Act of 2023".
§ 2. Legislative findings. All residents should have freedom to seek
the care, treatment and provider of their choosing with respect to their
healthcare if treatment of a health condition is within a licensed
healthcare provider's scope of practice. Given the historic bias against
nonpharmacological-based healthcare in New York, it shall be the policy
of the state to redress this imbalance by removing barriers and enhanc-
ing access to such services. First, a health insurance plan or health
benefit should not discriminate against licensed, nonpharmacological-
based healthcare providers regarding fee reimbursement or payment for
the provision of similar or like-kind healthcare services. Second, to
further reverse this bias and promote the public health, the state
should promote licensed, nonpharmacological-based healthcare services to
ensure that the public has full and unfettered access to the evidence-
based benefits of such services, including the treatment of substance
abuse disorders to combat the opioid crisis. Third, all residents should
have equal access to nonpharmacological-based healthcare alternatives,
whether through self-funded healthcare plans or plans which are fully
funded through insurance, or other contracts, when making personal
healthcare decisions. Finally, to better ensure compliance and enforce-
ment, the departments of health, financial services and labor should
have the ability to impose substantial fines and penalties against
insurers, healthcare plans and healthcare organizations that continue to
deny patients' freedom of choice regarding their healthcare.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01605-01-3
S. 6202 2
§ 3. Definitions. For the purposes of this act, the following terms
shall have the following meanings:
1. "Licensed health care provider or providers" shall mean any person
duly licensed under articles 132, 136, 153, 155, 156 or 160 of the
education law.
2. "Managed care product" shall mean: (a) a policy which requires that
medical or other health care services covered under the policy, other
than emergency care services, be provided by, or pursuant to, a referral
from a primary care provider and that services provided pursuant to such
a referral be rendered by a licensed health care provider participating
in the insurer's managed care provider network; (b) the in-network
portion of a contract which requires that medical or other health care
services covered under the contract, other than emergency care services,
be provided by, or pursuant to, a referral from a primary care provider
and that services provided pursuant to such a referral be rendered by a
licensed health care provider participating in the insurer's managed
care provider network, in order for the insured to be entitled to the
maximum reimbursement under the contract; and (c) other healthcare plans
through which each member of an enrolled population is entitled to
receive comprehensive in-network and out-of-network health services, in
consideration for a basic advance or periodic charge, which may or may
not require a referral for such services.
3. "Health services plan provider" shall mean an insurer or any organ-
ization or agency that provides health services or benefits under a
policy, plan or other contract.
§ 4. Insurance and health plan equality and non-discrimination. 1.
Every policy or plan which is a managed care product, as such term is
defined in section three of this act, that provides coverage for physi-
cian services in a physician's office, every policy or plan which is a
managed care product that provides major medical or similar comprehen-
sive-type coverage and every contract issued by a health service corpo-
ration or a medical expense indemnity corporation which is a managed
care product that includes coverage for physician services in a physi-
cian's office, shall include coverage for licensed health care provider
services. Licensed health care provider services may be subject to
reasonable deductible, co-payment and co-insurance amounts, reasonable
fee or benefit limits and reasonable utilization review, provided that
any such amounts, limits and review shall not:
(a) function to direct treatment in a manner discriminative against
any licensed health care provider;
(b) create underwriting standards that are more restrictive for any
licensed health care provider than care provided by other health profes-
sionals licensed under title 8 of the education law;
(c) apply cost containment, quality or performance measures to
licensed health care providers unequally, as compared with those applied
to primary care providers;
(d) impose a co-payment or co-insurance amount on an insured for
services provided by any licensed health care provider that is greater
than the co-payment or co-insurance amount imposed on an insured for the
same or similar services provided by a primary care provider; and
(e) individually and collectively be more restrictive than those
applicable under the same policy for care or services provided by other
health professionals in the diagnosis, treatment and management of the
same or similar conditions, injuries, complaints, disorders or ailments,
even if differing nomenclature is used to describe the condition, inju-
ry, complaint, disorder or ailment.
S. 6202 3
2. Every policy or plan which includes coverage for physician services
in a physician's office, every policy or plan which provides major
medical or similar comprehensive-type coverage, other than a managed
care product as such term is defined in section three of this act, and
every contract issued by a health service corporation or medical expense
indemnity corporation which includes coverage for physician services in
a physician's office other than a managed care product and benefits
provided under articles 2 and 3 of the workers' compensation law and
article 51 of the insurance law, shall include coverage for licensed
health care provider services. Licensed health care provider services
may be subject to reasonable deductible, co-payment and co-insurance
amounts, reasonable fee or benefit limits, and reasonable utilization
review, provided that any such amounts, limits and review shall not:
(a) function to direct treatment in a manner discriminative against
any licensed health care provider;
(b) create underwriting standards that are more restrictive for any
licensed health care provider than care provided by other health profes-
sionals licensed under title 8 of the education law;
(c) apply cost containment, quality or performance measures to
licensed health care provider care unequally as compared with those
applied to primary care providers;
(d) impose a co-payment or co-insurance amount on an insured for
services provided by any licensed health care provider that is greater
than the co-payment or co-insurance amount imposed on an insured for the
same or similar services provided by a primary care provider; and
(e) individually and collectively be more restrictive than those
applicable under the same policy for care or services provided by other
health professionals in the diagnosis, treatment and management of the
same or similar conditions, injuries, complaints, disorders or ailments,
even if differing nomenclature is used to describe the condition, inju-
ry, complaint, disorder or ailment.
3. The contract between a health maintenance organization, as such
term is defined in article 44 of the public health law and an enrollee,
shall be subject to regulation by the superintendent of the department
of financial services as if it were a health insurance subscriber
contract and shall include, but shall not be limited to, all mandated
benefits required by this act.
4. Any person, partnership, corporation, limited liability company or
other organization licensed under the laws of the state of New York,
which provides or contracts to provide health and accident benefit
coverage as a self-insurer for its employees, shareholders, or other
persons shall be subject to the provisions of this act.
5. The coverage required by this section shall not be abridged by any
regulation promulgated by the superintendent of financial services, the
commissioner of health or the chair of the workers' compensation board.
§ 5. Fee parity. 1. A health services plan provider shall not pay a
licensed health care provider less for care and services identified
under current procedural terminology, as listed in a nationally recog-
nized services and procedures code book, such as the most recent Ameri-
can Medical Association procedural terminology code book, than it pays
any other individual licensed under title 8 of the education law, except
as provided in subdivisions two and three of this section. A health
services plan provider shall not circumvent the requirements of this
section by creating a provider-specific code not listed in a nationally
recognized code book otherwise used by such health services plan provid-
er for payment, or by creating or using any other provider-specific
S. 6202 4
billing code or policy not listed in a nationally recognized coding
system otherwise used by the health services plan provider.
2. This section shall not affect a health service plan's ability to:
(a) implement a health care quality improvement program to promote cost
effective and clinically efficacious health care services, including but
not limited to, pay-for-performance payment methodologies and other
programs fairly applied to all individuals licensed under title 8 of the
education law, that are designed to promote evidence-based and
research-based practices; (b) establish health care network adequacy
standards; and (c) pay a licensed health care provider less than another
provider licensed under title 8 of the education law for procedures or
services under the same code based upon geographic differences in the
cost of maintaining a practice.
3. This section shall not expand the scope of practice of any licensed
health care provider.
§ 6. Treatment of pain. 1. When a patient seeks treatment for any
neuromusculoskeletal condition that causes pain where a health care
practitioner considers an opioid treatment, the practitioner shall
discuss with the patient and, as appropriate, refer or prescribe non-
pharmacological treatment alternatives, before starting a patient on an
opioid. For purposes of this section, "non-pharmacological treatment
alternatives" shall include chiropractic, acupuncture, massage therapy,
physical therapy, psychology, occupational therapy, cognitive behavioral
therapy, and non-clinical activities such as exercise. The health care
practitioner shall further advise that some treatment options may not be
covered by the patient's health insurance plan or coverage.
2. Nothing in this section shall be deemed to require that all non-o-
pioid treatment alternatives set forth in subdivision one of this
section must be exhausted prior to the patient receiving an opioid
prescription.
3. The requirements of this section shall not apply to patients being
treated under any of the following circumstances: cancer; hospice or
other end-of-life care; post-surgery treatment immediately following a
surgical procedure; or a medical emergency. For purposes of this
section, "medical emergency" shall mean an acute injury or illness that
poses an immediate risk to a person's life or health.
§ 7. Performing certain services including certifying disability and
employment by school districts. 1. To qualify as physically disabled for
the purposes of compliance with section 459 of the real property tax
law, an individual may also submit to the assessor, as such term is
defined in subdivision 3 of section 102 of the real property tax law, a
certified statement from any licensed health care provider on a form
prescribed and made available by the commissioner of taxation and
finance which states that the individual has a physical impairment which
substantially limits one or more of such individual's major life activ-
ities.
2. The commissioner of motor vehicles may issue license plates to
severely disabled persons in accordance with section 404-a of the vehi-
cle and traffic law upon the receipt of proof of an individual's disa-
bility or the disability of a family member, as certified by any
licensed health care provider.
3. "Health professionals," as such term is defined in section 902 of
the education law, with respect to the employment of such individuals by
school districts, shall also include any licensed health care provider.
§ 8. Enforcement and penalties. 1. Every health services plan provider
shall annually and no later than February first of each year, file a
S. 6202 5
report with the department of health, the department of financial
services and the department of labor that demonstrates compliance with
the provisions of this act. The department of health, the department of
financial services and the department of labor shall prescribe the
manner of filing and the content and format of the report required under
this section and shall make such filed reports available to the public
on each department's respective website. If a health services plan
provider that is required to file a report under this section does not
file such report by the time required, the department of health, the
department of financial services or the department of labor shall impose
a fine against the health services plan provider of not less than one
thousand dollars per day for each day such report is overdue.
2. Any person seeking treatment by a licensed health care provider who
has suffered loss or injury by reason of any violation of this act by a
health services plan provider shall have a private right of action to
enjoin such unlawful act or practice and to recover his or her actual
damages sustained because of any violation of this act. Actions may be
brought by one or more patients or licensed health care providers for
and on behalf of themselves, and other persons or licensed health care
providers similarly situated. A court of competent jurisdiction may, in
its discretion, award punitive damages, if the court finds that the
defendant health services plan provider willfully or knowingly violated
this act. The court may also award reasonable attorneys' fees to a
prevailing plaintiff.
§ 9. This act shall take effect immediately.
