Chapter 371
2026 -- S 3028
Enacted 06/22/2026

A N   A C T
RELATING TO BUSINESSES AND PROFESSIONS -- BOARD OF MEDICAL LICENSURE AND DISCIPLINE

Introduced By: Senators Famiglietti, Dimitri, Tikoian, Thompson, McKenney, Appollonio, Felag, LaMountain, Bissaillon, and Patalano

Date Introduced: March 05, 2026

It is enacted by the General Assembly as follows:
     SECTION 1. Section 5-37-5.1 of the General Laws in Chapter 5-37 entitled "Board of
Medical Licensure and Discipline" is hereby amended to read as follows:
     5-37-5.1. Unprofessional conduct.
     The term “unprofessional conduct” as used in this chapter includes, but is not limited to,
the following items or any combination of these items and may be further defined by regulations
established by the board with the prior approval of the director:
     (1) Fraudulent or deceptive procuring or use of a license or limited registration;
     (2) All advertising of medical business that is intended or has a tendency to deceive the
public;
     (3) Conviction of a felony; conviction of a crime arising out of the practice of medicine;
     (4) Abandoning a patient;
     (5) Dependence upon controlled substances, habitual drunkenness, or rendering
professional services to a patient while the physician or limited registrant is intoxicated or
incapacitated by the use of drugs;
     (6) Promotion by a physician or limited registrant of the sale of drugs, devices, appliances,
or goods or services provided for a patient in a manner as to exploit the patient for the financial
gain of the physician or limited registrant;
     (7) Immoral conduct of a physician or limited registrant in the practice of medicine;
     (8) Willfully making and filing false reports or records in the practice of medicine;
     (9) Willfully omitting to file or record, or willfully impeding or obstructing a filing or
recording, or inducing another person to omit to file or record, medical or other reports as required
by law;
     (10) Failing to furnish details of a patient’s medical record to succeeding physicians,
healthcare facility, or other healthcare providers upon proper request pursuant to § 5-37.3-4;
     (11) Soliciting professional patronage by agents or persons or profiting from acts of those
representing themselves to be agents of the licensed physician or limited registrants;
     (12) Dividing fees or agreeing to split or divide the fees received for professional services
for any person for bringing to or referring a patient;
     (13) Agreeing with clinical or bioanalytical laboratories to accept payments from these
laboratories for individual tests or test series for patients;
     (14) Making willful misrepresentations in treatments;
     (15) Practicing medicine with an unlicensed physician except in an accredited
preceptorship or residency training program, or aiding or abetting unlicensed persons in the practice
of medicine;
     (16) Gross and willful overcharging for professional services; including filing of false
statements for collection of fees for which services are not rendered, or willfully making or assisting
in making a false claim or deceptive claim or misrepresenting a material fact for use in determining
rights to health care or other benefits;
     (17) Offering, undertaking, or agreeing to cure or treat disease by a secret method,
procedure, treatment, or medicine;
     (18) Professional or mental incompetency;
     (19) Incompetent, negligent, or willful misconduct in the practice of medicine, which
includes the rendering of medically unnecessary services, and any departure from, or the failure to
conform to, the minimal standards of acceptable and prevailing medical practice in his or her area
of expertise as is determined by the board. The board does not need to establish actual injury to the
patient in order to adjudge a physician or limited registrant guilty of the unacceptable medical
practice in this subsection;
     (20) Failing to comply with the provisions of chapter 4.7 of title 23;
     (21) Surrender, revocation, suspension, limitation of privilege based on quality of care
provided, or any other disciplinary action against a license or authorization to practice medicine in
another state or jurisdiction; or surrender, revocation, suspension, or any other disciplinary action
relating to a membership on any medical staff or in any medical or professional association or
society while under disciplinary investigation by any of those authorities or bodies for acts or
conduct similar to acts or conduct that would constitute grounds for action as described in this
chapter;
     (22) Multiple adverse judgments, settlements, or awards arising from medical liability
claims related to acts or conduct that would constitute grounds for action as described in this
chapter;
     (23) Failing to furnish the board, its chief administrative officer, investigator, or
representatives, information legally requested by the board;
     (24) Violating any provision or provisions of this chapter or the rules and regulations of
the board or any rules or regulations promulgated by the director or of an action, stipulation, or
agreement of the board;
     (25) Cheating on or attempting to subvert the licensing examination;
     (26) Violating any state or federal law or regulation relating to controlled substances;
     (27) Failing to maintain standards established by peer-review boards, including, but not
limited to: standards related to proper utilization of services, use of nonaccepted procedure, and/or
quality of care;
     (28) A pattern of medical malpractice, or willful or gross malpractice on a particular
occasion;
     (29) Agreeing to treat a beneficiary of health insurance under title XVIII of the Social
Security Act, 42 U.S.C. § 1395 et seq., “Medicare Act,” and then charging or collecting from this
beneficiary any amount in excess of the amount or amounts permitted pursuant to the Medicare
Act;
     (30) Sexual contact between a physician and patient during the existence of the
physician/patient relationship;
     (31) Knowingly violating the provisions of § 23-4.13-2(d); or
     (32) Performing a pelvic examination or supervising a pelvic examination performed by
an individual practicing under the supervision of a physician on an anesthetized or unconscious
female patient without first obtaining the patient’s informed consent to pelvic examination, unless
the performance of a pelvic examination is within the scope of the surgical procedure or diagnostic
examination to be performed on the patient for which informed consent has otherwise been
obtained or in the case of an unconscious patient, the pelvic examination is required for diagnostic
purposes and is medically necessary.
     (33) Failing to submit medical bills to a health insurer, based solely on the reason that the
bill may arise from third-party claim or incident, other than a workers' compensation claim pursuant
to chapter 33 of title 28.
     SECTION 2. Section 27-18-61 of the General Laws in Chapter 27-18 entitled "Accident
and Sickness Insurance Policies" is hereby amended to read as follows:
     27-18-61. Prompt processing of claims.
     (a)(1) A healthcare entity or health plan operating in the state shall pay all complete claims
for covered healthcare services submitted to the healthcare entity or health plan by a healthcare
provider or by a policyholder within forty (40) calendar days following the date of receipt of a
complete written claim or within thirty (30) calendar days following the date of receipt of a
complete electronic claim. Each health plan shall establish a written standard defining what
constitutes a complete claim and shall distribute this standard to all participating providers.
     (2) No health care entity or health plan shall deny a claim for payment of any medical bill,
based solely on the reason that the bill may have arisen from a third-party claim or incident, other
than a workers' compensation claim pursuant to chapter 33 of title 28.
     (b) If the healthcare entity or health plan denies or pends a claim, the healthcare entity or
health plan shall have thirty (30) calendar days from receipt of the claim to notify in writing the
healthcare provider or policyholder of any and all reasons for denying or pending the claim and
what, if any, additional information is required to process the claim. No healthcare entity or health
plan may limit the time period in which additional information may be submitted to complete a
claim.
     (c) Any claim that is resubmitted by a healthcare provider or policyholder shall be treated
by the healthcare entity or health plan pursuant to the provisions of subsection (a) of this section.
     (d) A healthcare entity or health plan that fails to reimburse the healthcare provider or
policyholder after receipt by the healthcare entity or health plan of a complete claim within the
required timeframes shall pay to the healthcare provider or the policyholder who submitted the
claim, in addition to any reimbursement for healthcare services provided, interest which shall
accrue at the rate of twelve percent (12%) per annum commencing on the thirty-first (31st) day
after receipt of a complete electronic claim or on the forty-first (41st) day after receipt of a complete
written claim, and ending on the date the payment is issued to the healthcare provider or the
policyholder.
     (e) Exceptions to the requirements of this section are as follows:
     (1) No healthcare entity or health plan operating in the state shall be in violation of this
section for a claim submitted by a healthcare provider or policyholder if:
     (i) Failure to comply is caused by a directive from a court or federal or state agency;
     (ii) The healthcare entity or health plan is in liquidation or rehabilitation or is operating in
compliance with a court-ordered plan of rehabilitation; or
     (iii) The healthcare entity or health plan’s compliance is rendered impossible due to matters
beyond its control that are not caused by it.
     (2) No healthcare entity or health plan operating in the state shall be in violation of this
section for any claim: (i) Initially submitted more than ninety (90) days after the service is rendered,
or (ii) Resubmitted more than ninety (90) days after the date the healthcare provider received the
notice provided for in subsection (b) of this section; provided, this exception shall not apply in the
event compliance is rendered impossible due to matters beyond the control of the healthcare
provider and were not caused by the healthcare provider.
     (3) No healthcare entity or health plan operating in the state shall be in violation of this
section while the claim is pending due to a fraud investigation by a state or federal agency.
     (4) No healthcare entity or health plan operating in the state shall be obligated under this
section to pay interest to any healthcare provider or policyholder for any claim if the director of
business regulation finds that the entity or plan is in substantial compliance with this section. A
healthcare entity or health plan seeking such a finding from the director shall submit any
documentation that the director shall require. A healthcare entity or health plan that is found to be
in substantial compliance with this section shall thereafter submit any documentation that the
director may require on an annual basis for the director to assess ongoing compliance with this
section.
     (5) A healthcare entity or health plan may petition the director for a waiver of the provision
of this section for a period not to exceed ninety (90) days in the event the healthcare entity or health
plan is converting or substantially modifying its claims processing systems.
     (f) For purposes of this section, the following definitions apply:
     (1) “Claim” means: (i) A bill or invoice for covered services; (ii) A line item of service; or
(iii) All services for one patient or subscriber within a bill or invoice.
     (2) “Date of receipt” means the date the healthcare entity or health plan receives the claim
whether via electronic submission or as a paper claim.
     (3) “Healthcare entity” means a licensed insurance company or nonprofit hospital or
medical or dental service corporation or plan or health maintenance organization, or a contractor
as described in § 23-17.13-2(2) [repealed], that operates a health plan.
     (4) “Healthcare provider” means an individual clinician, either in practice independently
or in a group, who provides healthcare services, and otherwise referred to as a non-institutional
provider.
     (5) “Healthcare services” include, but are not limited to, medical, mental health, substance
abuse, dental, and any other services covered under the terms of the specific health plan.
     (6) “Health plan” means a plan operated by a healthcare entity that provides for the delivery
of healthcare services to persons enrolled in those plans through:
     (i) Arrangements with selected providers to furnish healthcare services; and/or
     (ii) Financial incentive for persons enrolled in the plan to use the participating providers
and procedures provided for by the health plan.
     (7) “Policyholder” means a person covered under a health plan or a representative
designated by that person.
     (8) “Substantial compliance” means that the healthcare entity or health plan is processing
and paying ninety-five percent (95%) or more of all claims within the time frame provided for in
subsections (a) and (b) of this section.
     (g) Any provision in a contract between a healthcare entity or a health plan and a healthcare
provider that is inconsistent with this section shall be void and of no force and effect.
     SECTION 3. Section 27-19-52 of the General Laws in Chapter 27-19 entitled "Nonprofit
Hospital Service Corporations" is hereby amended to read as follows:
     27-19-52. Prompt processing of claims.
     (a)(1) A healthcare entity or health plan operating in the state shall pay all complete claims
for covered healthcare services submitted to the healthcare entity or health plan by a healthcare
provider or by a policyholder within forty (40) calendar days following the date of receipt of a
complete written claim or within thirty (30) calendar days following the date of receipt of a
complete electronic claim. Each health plan shall establish a written standard defining what
constitutes a complete claim and shall distribute this standard to all participating providers.
     (2) No health care entity or health plan shall deny a claim for payment of any medical bill,
based solely on the reason that the bill may have arisen from a third-party claim or incident, other
than a workers' compensation claim pursuant to chapter 33 of title 28.
     (b) If the healthcare entity or health plan denies or pends a claim, the healthcare entity or
health plan shall have thirty (30) calendar days from receipt of the claim to notify in writing the
healthcare provider or policyholder of any and all reasons for denying or pending the claim and
what, if any, additional information is required to process the claim. No healthcare entity or health
plan may limit the time period in which additional information may be submitted to complete a
claim.
     (c) Any claim that is resubmitted by a healthcare provider or policyholder shall be treated
by the healthcare entity or health plan pursuant to the provisions of subsection (a) of this section.
     (d) A healthcare entity or health plan that fails to reimburse the healthcare provider or
policyholder after receipt by the healthcare entity or health plan of a complete claim within the
required timeframes shall pay to the healthcare provider or the policyholder who submitted the
claim, in addition to any reimbursement for healthcare services provided, interest that shall accrue
at the rate of twelve percent (12%) per annum commencing on the thirty-first (31st) day after receipt
of a complete electronic claim or on the forty-first (41st) day after receipt of a complete written
claim, and ending on the date the payment is issued to the healthcare provider or the policyholder.
     (e) Exceptions to the requirements of this section are as follows:
     (1) No healthcare entity or health plan operating in the state shall be in violation of this
section for a claim submitted by a healthcare provider or policyholder if:
     (i) Failure to comply is caused by a directive from a court or federal or state agency;
     (ii) The healthcare provider or health plan is in liquidation or rehabilitation or is operating
in compliance with a court-ordered plan of rehabilitation; or
     (iii) The healthcare entity or health plan’s compliance is rendered impossible due to matters
beyond its control that are not caused by it.
     (2) No healthcare entity or health plan operating in the state shall be in violation of this
section for any claim: (i) Initially submitted more than ninety (90) days after the service is rendered,
or (ii) Resubmitted more than ninety (90) days after the date the healthcare provider received the
notice provided for in § 27-18-61(b); provided, this exception shall not apply in the event
compliance is rendered impossible due to matters beyond the control of the healthcare provider and
were not caused by the healthcare provider.
     (3) No healthcare entity or health plan operating in the state shall be in violation of this
section while the claim is pending due to a fraud investigation by a state or federal agency.
     (4) No healthcare entity or health plan operating in the state shall be obligated under this
section to pay interest to any healthcare provider or policyholder for any claim if the director of the
department of business regulation finds that the entity or plan is in substantial compliance with this
section. A healthcare entity or health plan seeking such a finding from the director shall submit any
documentation that the director shall require. A healthcare entity or health plan that is found to be
in substantial compliance with this section shall after this submit any documentation that the
director may require on an annual basis for the director to assess ongoing compliance with this
section.
     (5) A healthcare entity or health plan may petition the director for a waiver of the provision
of this section for a period not to exceed ninety (90) days in the event the healthcare entity or health
plan is converting or substantially modifying its claims processing systems.
     (f) For purposes of this section, the following definitions apply:
     (1) “Claim” means:
     (i) A bill or invoice for covered services;
     (ii) A line item of service; or
     (iii) All services for one patient or subscriber within a bill or invoice.
     (2) “Date of receipt” means the date the healthcare entity or health plan receives the claim
whether via electronic submission or has a paper claim.
     (3) “Healthcare entity” means a licensed insurance company or nonprofit hospital or
medical or dental service corporation or plan or health maintenance organization, or a contractor
as described in § 23-17.13-2(2), that operates a health plan.
     (4) “Healthcare provider” means an individual clinician, either in practice independently
or in a group, who provides healthcare services, and referred to as a non-institutional provider.
     (5) “Healthcare services” include, but are not limited to, medical, mental health, substance
abuse, dental, and any other services covered under the terms of the specific health plan.
     (6) “Health plan” means a plan operated by a healthcare entity that provides for the delivery
of healthcare services to persons enrolled in those plans through:
     (i) Arrangements with selected providers to furnish healthcare services; and/or
     (ii) Financial incentive for persons enrolled in the plan to use the participating providers
and procedures provided for by the health plan.
     (7) “Policyholder” means a person covered under a health plan or a representative
designated by that person.
     (8) “Substantial compliance” means that the healthcare entity or health plan is processing
and paying ninety-five percent (95%) or more of all claims within the time frame provided for in §
27-18-61(a) and (b).
     (g) Any provision in a contract between a healthcare entity or a health plan and a healthcare
provider that is inconsistent with this section shall be void and of no force and effect.
     SECTION 4. Section 27-20-47 of the General Laws in Chapter 27-20 entitled "Nonprofit
Medical Service Corporations" is hereby amended to read as follows:
     27-20-47. Prompt processing of claims.
     (a)(1) A healthcare entity or health plan operating in the state shall pay all complete claims
for covered healthcare services submitted to the healthcare entity or health plan by a healthcare
provider or by a policyholder within forty (40) calendar days following the date of receipt of a
complete written claim or within thirty (30) calendar days following the date of receipt of a
complete electronic claim. Each health plan shall establish a written standard defining what
constitutes a complete claim and shall distribute the standard to all participating providers.
     (2) No health care entity or health plan shall deny a claim for payment of any medical bill,
based solely on the reason that the bill may have arisen from a third-party claim or incident, other
than a workers' compensation claim pursuant to chapter 33 of title 28.
     (b) If the healthcare entity or health plan denies or pends a claim, the healthcare entity or
health plan shall have thirty (30) calendar days from receipt of the claim to notify in writing the
healthcare provider or policyholder of any and all reasons for denying or pending the claim and
what, if any, additional information is required to process the claim. No healthcare entity or health
plan may limit the time period in which additional information may be submitted to complete a
claim.
     (c) Any claim that is resubmitted by a healthcare provider or policyholder shall be treated
by the healthcare entity or health plan pursuant to the provisions of subsection (a) of this section.
     (d) A healthcare entity or health plan which fails to reimburse the healthcare provider or
policyholder after receipt by the healthcare entity or health plan of a complete claim within the
required timeframes shall pay to the healthcare provider or the policyholder who submitted the
claim, in addition to any reimbursement for healthcare services provided, interest that shall accrue
at the rate of twelve percent (12%) per annum commencing on the thirty-first (31st) day after receipt
of a complete electronic claim or on the forty-first (41st) day after receipt of a complete written
claim, and ending on the date the payment is issued to the healthcare provider or the policyholder.
     (e) Exceptions to the requirements of this section are as follows:
     (1) No healthcare entity or health plan operating in the state shall be in violation of this
section for a claim submitted by a healthcare provider or policyholder if:
     (i) Failure to comply is caused by a directive from a court or federal or state agency;
     (ii) The healthcare entity or health plan is in liquidation or rehabilitation or is operating in
compliance with a court-ordered plan of rehabilitation; or
     (iii) The healthcare entity or health plan’s compliance is rendered impossible due to matters
beyond its control that are not caused by it.
     (2) No healthcare entity or health plan operating in the state shall be in violation of this
section for any claim: (i) Initially submitted more than ninety (90) days after the service is rendered,
or (ii) Resubmitted more than ninety (90) days after the date the healthcare provider received the
notice provided for in § 27-18-61(b); provided, this exception shall not apply in the event
compliance is rendered impossible due to matters beyond the control of the healthcare provider and
were not caused by the healthcare provider.
     (3) No healthcare entity or health plan operating in the state shall be in violation of this
section while the claim is pending due to a fraud investigation by a state or federal agency.
     (4) No healthcare entity or health plan operating in the state shall be obligated under this
section to pay interest to any healthcare provider or policyholder for any claim if the director of the
department of business regulation finds that the entity or plan is in substantial compliance with this
section. A healthcare entity or health plan seeking such a finding from the director shall submit any
documentation that the director shall require. A healthcare entity or health plan that is found to be
in substantial compliance with this section shall after this submit any documentation that the
director may require on an annual basis for the director to assess ongoing compliance with this
section.
     (5) A healthcare entity or health plan may petition the director for a waiver of the provision
of this section for a period not to exceed ninety (90) days in the event the healthcare entity or health
plan is converting or substantially modifying its claims processing systems.
     (f) For purposes of this section, the following definitions apply:
     (1) “Claim” means: (i) A bill or invoice for covered services; (ii) A line item of service; or
(iii) All services for one patient or subscriber within a bill or invoice.
     (2) “Date of receipt” means the date the healthcare entity or health plan receives the claim
whether via electronic submission or has a paper claim.
     (3) “Healthcare entity” means a licensed insurance company or nonprofit hospital or
medical or dental service corporation or plan or health maintenance organization, or a contractor
as described in § 23-17.13-2(2), that operates a health plan.
     (4) “Healthcare provider” means an individual clinician, either in practice independently
or in a group, who provides healthcare services, and referred to as a non-institutional provider.
     (5) “Healthcare services” include, but are not limited to, medical, mental health, substance
abuse, dental, and any other services covered under the terms of the specific health plan.
     (6) “Health plan” means a plan operated by a healthcare entity that provides for the delivery
of healthcare services to persons enrolled in the plan through:
     (i) Arrangements with selected providers to furnish healthcare services; and/or
     (ii) Financial incentive for persons enrolled in the plan to use the participating providers
and procedures provided for by the health plan.
     (7) “Policyholder” means a person covered under a health plan or a representative
designated by that person.
     (8) “Substantial compliance” means that the healthcare entity or health plan is processing
and paying ninety-five percent (95%) or more of all claims within the time frame provided for in §
27-18-61(a) and (b).
     (g) Any provision in a contract between a healthcare entity or a health plan and a healthcare
provider that is inconsistent with this section shall be void and of no force and effect.
     SECTION 5. Section 27-41-64 of the General Laws in Chapter 27-41 entitled "Health
Maintenance Organizations" is hereby amended to read as follows:
     27-41-64. Prompt processing of claims.
     (a)(1) A healthcare entity or health plan operating in the state shall pay all complete claims
for covered healthcare services submitted to the healthcare entity or health plan by a healthcare
provider or by a policyholder within forty (40) calendar days following the date of receipt of a
complete written claim or within thirty (30) calendar days following the date of receipt of a
complete electronic claim. Each health plan shall establish a written standard defining what
constitutes a complete claim and shall distribute this standard to all participating providers.
     (2) No health care entity or health plan shall deny a claim for payment of any medical bill,
based solely on the reason that the bill may have arisen from a third-party claim or incident, other
than a workers' compensation claim pursuant to chapter 33 of title 28.
     (b) If the healthcare entity or health plan denies or pends a claim, the healthcare entity or
health plan shall have thirty (30) calendar days from receipt of the claim to notify in writing the
healthcare provider or policyholder of any and all reasons for denying or pending the claim and
what, if any, additional information is required to process the claim. No healthcare entity or health
plan may limit the time period in which additional information may be submitted to complete a
claim.
     (c) Any claim that is resubmitted by a healthcare provider or policyholder shall be treated
by the healthcare entity or health plan pursuant to the provisions of subsection (a) of this section.
     (d) A healthcare entity or health plan that fails to reimburse the healthcare provider or
policyholder after receipt by the healthcare entity or health plan of a complete claim within the
required timeframes shall pay to the healthcare provider or the policyholder who submitted the
claim, in addition to any reimbursement for healthcare services provided, interest that shall accrue
at the rate of twelve percent (12%) per annum commencing on the thirty-first (31st) day after receipt
of a complete electronic claim or on the forty-first (41st) day after receipt of a complete written
claim, and ending on the date the payment is issued to the healthcare provider or the policyholder.
     (e) Exceptions to the requirements of this section are as follows:
     (1) No healthcare entity or health plan operating in the state shall be in violation of this
section for a claim submitted by a healthcare provider or policyholder if:
     (i) Failure to comply is caused by a directive from a court or federal or state agency;
     (ii) The healthcare entity or health plan is in liquidation or rehabilitation or is operating in
compliance with a court-ordered plan of rehabilitation; or
     (iii) The healthcare entity or health plan’s compliance is rendered impossible due to matters
beyond its control that are not caused by it.
     (2) No healthcare entity or health plan operating in the state shall be in violation of this
section for any claim: (i) Initially submitted more than ninety (90) days after the service is rendered,
or (ii) Resubmitted more than ninety (90) days after the date the healthcare provider received the
notice provided for in § 27-18-61(b); provided, this exception shall not apply in the event
compliance is rendered impossible due to matters beyond the control of the healthcare provider and
were not caused by the healthcare provider.
     (3) No healthcare entity or health plan operating in the state shall be in violation of this
section while the claim is pending due to a fraud investigation by a state or federal agency.
     (4) No healthcare entity or health plan operating in the state shall be obligated under this
section to pay interest to any healthcare provider or policyholder for any claim if the director of the
department of business regulation finds that the entity or plan is in substantial compliance with this
section. A healthcare entity or health plan seeking that finding from the director shall submit any
documentation that the director shall require. A healthcare entity or health plan that is found to be
in substantial compliance with this section shall submit any documentation the director may require
on an annual basis for the director to assess ongoing compliance with this section.
     (5) A healthcare entity or health plan may petition the director for a waiver of the provision
of this section for a period not to exceed ninety (90) days in the event the healthcare entity or health
plan is converting or substantially modifying its claims processing systems.
     (f) For purposes of this section, the following definitions apply:
     (1) “Claim” means: (i) A bill or invoice for covered services; (ii) A line item of service; or
(iii) All services for one patient or subscriber within a bill or invoice.
     (2) “Date of receipt” means the date the healthcare entity or health plan receives the claim
whether via electronic submission or as a paper claim.
     (3) “Healthcare entity” means a licensed insurance company or nonprofit hospital or
medical or dental service corporation or plan or health maintenance organization, or a contractor
as described in § 23-17.13-2(2) [repealed] that operates a health plan.
     (4) “Healthcare provider” means an individual clinician, either in practice independently
or in a group, who provides healthcare services, and is referred to as a non-institutional provider.
     (5) “Healthcare services” include, but are not limited to, medical, mental health, substance
abuse, dental, and any other services covered under the terms of the specific health plan.
     (6) “Health plan” means a plan operated by a healthcare entity that provides for the delivery
of healthcare services to persons enrolled in the plan through:
     (i) Arrangements with selected providers to furnish healthcare services; and/or
     (ii) Financial incentive for persons enrolled in the plan to use the participating providers
and procedures provided for by the health plan.
     (7) “Policyholder” means a person covered under a health plan or a representative
designated by that person.
     (8) “Substantial compliance” means that the healthcare entity or health plan is processing
and paying ninety-five percent (95%) or more of all claims within the time frame provided for in §
27-18-61(a) and (b).
     (g) Any provision in a contract between a healthcare entity or a health plan and a healthcare
provider that is inconsistent with this section shall be void and of no force and effect.
     SECTION 6. This act shall take effect upon passage.
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LC006007
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