What's happening
This bill requires insurers to give at least three days' direct, non-written notice before terminating coverage for substance use disorder treatment.
Why it matters
Protects continuity of care for people in treatment. By requiring direct, non-written notice at least three days before insurance for substance use disorder treatment ends, patients have a critical window to seek alternative arrangements, reducing the risk of abrupt interruptions that can harm recovery or lead to dangerous relapses.
Reduces administrative barriers and delays. Mandating that notice must be "direct" and "not be written" (e.g., via phone call), the bill aims to ensure that patients actually receive timely information, rather than missing or misunderstanding a mailed letter or email.
Applies across a broad range of insurance types. The amendments cover various kinds of insurance plans, increasing the likelihood that most New Yorkers with coverage for substance use disorder treatment will benefit from these protections.
Addresses transparency and accountability in insurer practices. The requirement for advance, direct notice helps hold insurers accountable for their decisions and provides insured individuals with greater clarity and time to appeal or respond if they believe a coverage termination is unjustified.
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Who cares
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Require 3-Day Notice for Coverage End
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to insurance
- Referred to insurance
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2010
2017-2018 Regular Sessions
IN ASSEMBLY
January 17, 2017
Introduced by M. of A. HEVESI -- read once and referred to the Committee on Insurance
AN ACT to amend the insurance law, in relation to requiring three days' notice before terminating coverage for the diagnosis and treatment of substance use disorders
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraph 30 of subsection (i) of section 3216 of the insurance law, as amended by section 1 of part B of chapter 71 of the laws of 2016, is amended by adding a new subparagraph (E) to read as follows:
(E) In the event the insurer terminates coverage for the diagnosis and treatment of substance use disorder, including detoxification and rehabilitation services, for an insured person authorized pursuant to this paragraph, the insurer shall provide the insured person three days' notice prior to the termination. Such notice shall be direct to the insured person and shall not be written.
§ 2. Paragraph 31 of subsection (i) of section 3216 of the insurance law is amended by adding a new subparagraph (E) to read as follows:
(E) In the event the insurer terminates coverage for the diagnosis and treatment of substance use disorder, including detoxification and rehabilitation services, for an insured person authorized pursuant to this paragraph, the insurer shall provide the insured person three days' notice prior to the termination. Such notice shall be direct to the insured person and shall not be written.
§ 3. Paragraph 6 of subsection (l) of section 3221 of the insurance law is amended by adding a new subparagraph (E) to read as follows:
(E) In the event the insurer terminates coverage for the diagnosis and treatment of substance use disorder, including detoxification and rehabilitation services, for an insured person authorized pursuant to this paragraph, the insurer shall provide the insured person three days'
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02644-01-7
A. 2010 2
notice prior to the termination. Such notice shall be direct to the insured person and shall not be written.
§ 4. Paragraph 7 of subsection (l) of section 3221 of the insurance law is amended by adding a new subparagraph (E) to read as follows:
(E) In the event the insurer terminates coverage for the diagnosis and treatment of substance use disorder, including detoxification and rehabilitation services, for an insured person authorized pursuant to this paragraph, the insurer shall provide the insured person three days' notice prior to the termination. Such notice shall be direct to the insured person and shall not be written.
§ 5. Subsection (k) of section 4303 of the insurance law is amended by adding a new paragraph 5 to read as follows:
(5) In the event the insurer terminates coverage for the diagnosis and treatment of substance use disorder, including detoxification and rehabilitation services, for an insured person authorized pursuant to this subsection, the insurer shall provide the insured person three days' notice prior to the termination. Such notice shall be direct to the insured person and shall not be written.
§ 6. Subsection (l) of section 4303 of the insurance law is amended by adding a new paragraph 5 to read as follows:
(5) In the event the insurer terminates coverage for the diagnosis and treatment of substance use disorder, including detoxification and rehabilitation services, for an insured person authorized pursuant to this subsection, the insurer shall provide the insured person three days notice prior to the termination. Such notice shall be direct to the insured person and shall not be written.
§ 7. This act shall take effect on the same date and in the same manner as section 4 of part B of chapter 71 of the laws of 2016, takes effect.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
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