California bill would level reimbursement playing field between telehealth, in-person visits
Under the proposal, health plans would be required to reimburse providers equally for in-person or video conferencing visits.
In a move that could expand telehealth access to all California residents, a bill that’s already made it through the legislature would compel health plans to reimburse providers equally for visits that would achieve the same results whether conducted in person or via video conferencing.
According to Government Technology, the bill just awaits the signature of Governor Gavin Newsom; his decision is expected by October 13.
Related: Telemedicine use is booming (kind of)
Assembly Bill 744, “updates telehealth definitions and contracting law to ensure people have access to health care regardless of where they live in the state.” It does so by broadening the existing statute for Medi-Cal, California’s Medicaid program, to reimburse providers for more telehealth services.
The bill received overwhelming support in the Assembly.
Assemblymember Cecilia Aguiar-Curry, D-Winters, who wrote the legislation, says that AB 744 “makes it so that health plans and insurers in the state will follow the same things. The reimbursement of telehealth services is already covered under Medi-Cal, so this is basically saying, ‘Health plans, you now have to do the same thing.’”
In response to concerns from health care plans that the bill would limit rate negotiations with providers, Aguiar-Curry said that the bill has been amended to clarify that it does not set rates unless the exact same in-person service is being conducted remotely.
Government Technology adds that Aguiar-Curry has been working not only on expanding access to telehealth but also on solutions to aging in place and improvements to broadband access. She’s quoted saying, “The No. 1 thing I had to do is educate my urban colleagues that what works in [Los Angeles] does not necessarily work in a rural area and what you have in [Los Angeles] doesn’t mean we necessarily have it in our rural areas.”
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