Health

Gov. Pritzker Enacts Health Insurance Reform Law

Jul 10, 2024 1 min read

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Illinois Governor JB Pritzker has signed the Healthcare Protection Act (HPA), a comprehensive bill designed to enhance healthcare access and affordability by curbing certain insurance practices. Key provisions of the HPA include the elimination of step therapy, which requires patients to try less effective treatments before accessing the care recommended by their doctors, and the removal of prior authorization requirements for crisis mental health care. Additionally, the act bans short-term, limited-duration insurance plans, often criticized as "junk insurance" for not meeting federal Affordable Care Act standards, and addresses unchecked rate increases for large group insurance plans.

The new legislation mandates that insurance companies maintain transparent and up-to-date lists of in-network providers and disclose prior authorization requirements. The Illinois Department of Insurance is now empowered to approve or reject proposed premium rate changes for large-group health plans. The bill was drafted in consultation with medical professionals to address barriers to care and is expected to save lives and improve healthcare quality for thousands of Illinois residents. Despite concerns about an estimated $30 million annual cost to taxpayers, the bill passed with little opposition, reflecting broad support for its measures to prioritize patient and doctor decision-making over insurance company practices.

#politics #finance #insurance

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