Relates to losses sustained as a result of intoxication

2 Co-sponsors

• Crystal Peoples-Stokes
• Joseph Morelle

BILL NUMBER:A11116

Title of bill

An act to amend the insurance law, in relation to losses sustained as a result of intoxication

Purpose or general idea of bill

To make certain that health care providers are compensated for their services regardless of the fact that the insured was injured as a result of operating a motor vehicle in an intoxicated condition and to allow insurers a right of recovery where the injured person is found guilty of operating a motor vehicle while in an intoxicated condition or while his ability to operate a motor vehicle is impaired by the use of drugs or alcohol.

Summary of specific provisions

Section one amends subsection (b) of section 5103 of the Insurance Law to provide that health care providers which render any of the services otherwise covered by no-fault auto insurance medical benefits and in accordance with their obligations under law and regulations regarding emergency care and the screening, treatment and stabilization of patients, are reimbursed for their services. It also permits insurers to recover payments that they have made for these services from the individual in the event he or she is found guilty of a DWI or DUI offense.

Justification

Section 2805-b of the Public Health Law and the federal Emergency Medical Treatment and Active Labor Act (EMTALA) require health care providers such as hospitals, emergency room physicians, nurses and surgeons to provide emergency medical services to persons in need of care, and screening, stabilization and treatment of persons seeking medical care at hospitals. At the same time, New York's No-fault auto insurance law allows insurers to deny reimbursement when insureds are injured while operating a motor vehicle in an intoxicated condition. It is grossly unfair to permit health care institutions and professionals to provide lifesaving care, and then provide no compensation. Health care providers offer the life-saving services that are needed when a person is in a motor vehicle accident. In addition, there is no evidence that current No-fault standards deter drunk driving; they simply penalize health care providers for the irresponsible and dangerous behavior of others. This bill would correct the gross inequity by providing for No-fault medical reimbursement for these dedicated professionals and institutions when they provide care pursuant to state and federal guide- lines,

The current exclusion on No-fault benefits also represents a serious barrier that prevents individuals with substance abuse problems from getting the treatment they need. Health care providers who test accident victims for blood alcohol levels usually in emergency rooms - risk the loss of tens of thousands of dollars in insurance

reimbursement. Without testing, individuals with substance abuse problems are not required to seek counseling, or treatment. Instead, they continue their self-destructive behavior and may harm or kill others in the future. This bill will eliminate the financial disincentives health care providers face when considering whether to perform tests that could force individuals with substance abuse problems into confronting their illness. This bill will also eliminate the gross inequity of an insurance system that penalizes health care professionals and institutions for providing life saving care that is required by law.

Finally, this bill allows the no-fault insurer to seek recovery from the drunk driver for the cost of hospital care and treatment. This would create another disincentive to make the poor decision of driving under the influence of alcohol or drugs.

Prior legislative history

2007-2008- A.10000/S8294-A- Passed Both Houses- Veto #170

Fiscal implications

None to the State

Effective date

This Act Shall Take Effect 180 Days after it shall have become law.