S T A T E O F N E W Y O R K
________________________________________________________________________
8892
I N A S S E M B L Y
(PREFILED)
January 4, 2012
___________
Introduced by M. of A. QUART -- read once and referred to the Committee
on Insurance
AN ACT to amend the insurance law, in relation to overpayments to health
care providers
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subsection (b) of section 3224-b of the insurance law is
amended by adding a new paragraph 2-a to read as follows:
(2-A) IF A HEALTH CARE PLAN ALLEGES FRAUD OR OTHER INTENTIONAL MISCON-
DUCT, OR ABUSIVE BILLING TO SEEK RECOVERY OF AN OVERPAYMENT PURSUANT TO
PARAGRAPH TWO OF THIS SUBSECTION MORE THAN TWENTY-FOUR MONTHS AFTER THE
ORIGINAL PAYMENT WAS RECEIVED BY THE HEALTH CARE PROVIDER, AND IT IS
FOUND THAT SUCH PAYMENT OR PAYMENTS IN DISPUTE WERE NOT THE RESULT OF
FRAUD OR OTHER INTENTIONAL MISCONDUCT OR ABUSIVE BILLING, SUCH HEALTH
CARE PLAN SHALL BE RESPONSIBLE FOR THE REASONABLE LEGAL AND OTHER EXPERT
FEES OF THE HEALTH CARE PROVIDER CONNECTED WITH THE DEFENSE OF THE ALLE-
GATIONS THAT THERE WAS AN OVERPAYMENT. THE DEPARTMENT SHALL FINE ANY
HEALTH CARE PLAN FOUND TO HAVE KNOWINGLY, WILLFULLY OR RECKLESSLY MADE
FALSE CHARGES UNDER THIS SECTION IN AN AMOUNT OF UP TO FIVE THOUSAND
DOLLARS PER PAYMENT THAT IS FALSELY CHARGED TO HAVE BEEN THE RESULT OF
FRAUD OR OTHER INTENTIONAL MISCONDUCT OR ABUSIVE BILLING.
S 2. This act shall take effect immediately.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08055-03-2