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Relating to the renewal of a preauthorization for a medical or health care service.
HB 3041 would require a health benefit plan issuer that requires preauthorization as a condition of payment for a medical or health care service to provide a preauthorization renewal process that allows a renewal of an existing preauthorization to be requested at least 60 days before expiration.
The health care and health insurance industries are so highly regulated and burdened with mandates that they do not operate on anything resembling a free market basis. Preauthorization, like all other aspects of health insurance and health care, is highly regulated. The requirements added by this legislation are not particularly offensive or burdensome, however we note they would not be necessary if these industries were allowed to operate in a free market environment. Health care providers and patients are only at the mercy of onerous insurer requirements because the regulatory environment places insurers in an advantageous position by limiting choice and competition in the marketplace. For these reasons we remain neutral on HB 3041.