What's happening
This bill requires health insurers in New York to accept premium and cost-sharing payments from certain third parties, including charities and government programs.
Why it matters
Expands access to health insurance for vulnerable populations. by ensuring that payments from tribal groups, government programs (like the Ryan White HIV/AIDS Program), and certain charities cannot be refused by insurers—helping those who rely on outside assistance to maintain coverage.
Prevents insurers from discriminating based on the source of payment. , particularly benefiting people with chronic illnesses or financial hardship, who may need help from third-party organizations to pay premiums or cost-sharing expenses.
Sets guardrails to prevent abuse or adverse selection. by requiring that private, not-for-profit foundations can only make payments for individuals who meet financial (not health) criteria and must cover the full policy year, ensuring assistance targets financial need rather than specific health conditions.
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Who cares
Headline styles
Let Insurers Take Third-Party Payments
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
27
2017-2018 Regular Sessions
IN ASSEMBLY (Prefiled)
January 4, 2017
Introduced by M. of A. CAHILL -- read once and referred to the Committee on Insurance
AN ACT to amend the public health law and the insurance law, in relation to requiring health insurers to accept third party payments for coverage
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 4406-c of the public health law is amended by adding a new subdivision 9 to read as follows:
9. With regard to a subscriber contract offered through the individual market, a health maintenance organization shall not by contract or in any other manner refuse to accept premium or any required cost sharing payments from third parties if made by (a) an Indian tribe, tribal organization, urban Indian organization, or any state or federal government program or grantee (such as the Ryan White HIV/AIDS program) on behalf of an enrollee, or (b) a private, not-for-profit foundation, on behalf of an enrollee who satisfies defined criteria that are based on financial status and do not consider health status, and the payment covers the entire policy year.
§ 2. Section 3217-b of the insurance law is amended by adding a new subsection (k) to read as follows:
(k) With regard to an insurance policy offered through the individual market, an insurer shall not by contract or in any other manner refuse to accept premium or any required cost sharing payments from third parties if made by (1) an Indian tribe, tribal organization, urban Indian organization, or any state or federal government program or grantee (such as the Ryan White HIV/AIDS program) on behalf of an insured, or (2) a private, not-for-profit foundation, on behalf of an insured who satisfies defined criteria that are based on financial status and do not consider health status, and the payment covers the entire policy year.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01313-01-7
A. 27 2
§ 3. Section 4325 of the insurance law is amended by adding a new subsection (l) to read as follows:
(l) With regard to an insurance contract offered through the individual market, a corporation organized under this article shall not by contract or in any other manner refuse to accept premium or any required cost sharing payments from third parties if made by (1) an Indian tribe, tribal organization, urban Indian organization, or any state or federal government program or grantee (such as the Ryan White HIV/AIDS program) on behalf of a subscriber, or (2) a private, not-for-profit foundation, on behalf of a subscriber who satisfies defined criteria that are based on financial status and do not consider health status, and payment covers the entire policy year.
§ 4. This act shall take effect January 1, 2018.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.