Michigan 2025-2026 Regular Session

Michigan Senate Bill SB0894

Introduced
3/26/26  

Caption

Insurance: health benefits; nonprofit health care corporation to panel a mental health provider within a certain time period of the application process; require. Amends 1980 PA 350 (MCL 550.1101 - 550.1704) by adding sec. 414c.

Impact

By enforcing a structured timeline for both the assessment and the decision-making process regarding provider credentialing, SB 0894 is expected to enhance the efficiency of nonprofit health care corporations. The bill includes provisions for reimbursement of health care providers for claims submitted beyond 60 days if the application has not been approved or denied in a timely manner. This reimbursement policy aims to ensure that healthcare providers are compensated for services rendered even while awaiting credentialing, thus mitigating potential financial strains on providers and their practices.

Summary

Senate Bill 0894 aims to amend the 1980 PA 350, known as 'The Nonprofit Health Care Corporation Reform Act', by adding section 414c. This addition mandates that health care corporations must assess and verify the qualifications of health care providers who apply to become participating providers within 60 calendar days of receiving a complete credentialing application. If the application is incomplete, the corporation must inform the applicant within 10 business days about the required steps to complete their application. This requirement aims to streamline the credentialing process and improve access to healthcare services.

Conclusion

Overall, SB 0894 seeks to modernize and improve the credentialing process for health care providers associated with nonprofit health care corporations in Michigan. The successful implementation of the bill could lead to better healthcare service access and provider satisfaction, though it also raises questions regarding the management of credentialing standards and reimbursement practices.

Contention

The introduction of SB 0894 may bring about differing opinions among stakeholders. Proponents are likely to highlight the importance of timely access to care and the reduction of bureaucratic delays as a beneficial aspect of the bill. Critics, however, might raise concerns about the definitions and standards of qualification that health care corporations will apply in the credentialing process. Additionally, issues could arise surrounding the conditions under which a credentialing period can be extended, which may lead to disputes regarding application evaluations.

Companion Bills

No companion bills found.

Previously Filed As

MI SB0893

Insurance: insurers; insurance providers to panel a mental health provider within a certain time period of application process; require. Amends 1956 PA 218 (MCL 500.100 - 500.8302) by adding sec. 3406mm.

MI HB4095

Insurance: insurers; insurance providers to panel a mental health provider within a certain time period of application process; require. Amends 1956 PA 218 (MCL 500.100 - 500.8302) by adding sec. 3406ss.

MI HB5512

Insurance: health insurers; procedures and timelines for the credentialing of health care providers; provide for. Amends 1956 PA 218 (MCL 500.100 - 500.8302) by adding sec. 3406uu. TIE BAR WITH: HB 5513'26

MI HB1093

Health Insurance - Provider Panels - Requirements

MI SB808

Health Insurance - Provider Panels - Requirements

MI HB5513

Insurance: health insurers; procedures and timelines for the credentialing of healthcare providers; provide for. Amends 1956 PA 218 (MCL 500.100 - 500.8302) by adding sec. 3406vv. TIE BAR WITH: HB 5512'26

MI H8310

Amends the timelines related to healthcare provider credentialing.

MI HB1093

Health Insurance - Provider Panels - Requirements

MI SB247

Insurance; to allow reorganization of a nonprofit health care service corporation under the control of a nonprofit holding company

MI HB1374

Insurance; methods of payment to healthcare providers; provide certain requirements

Similar Bills

MI SB0893

Insurance: insurers; insurance providers to panel a mental health provider within a certain time period of application process; require. Amends 1956 PA 218 (MCL 500.100 - 500.8302) by adding sec. 3406mm.

MI HB4095

Insurance: insurers; insurance providers to panel a mental health provider within a certain time period of application process; require. Amends 1956 PA 218 (MCL 500.100 - 500.8302) by adding sec. 3406ss.

IN HB1003

Health matters.

OR HB3242

Relating to in-network credentialing; and prescribing an effective date.

TN HB0663

AN ACT to amend Tennessee Code Annotated, Title 49, relative to education.

TN SB0709

AN ACT to amend Tennessee Code Annotated, Title 49, relative to education.

NM HB402

Health Insurance Provider Info Loading

AZ SB1228

Health insurers; provisional provider credentialing