New Hampshire House Bill HB706

New Hampshire 2026 Regular Session

• Introduced: 1/22/25
• Refer: 1/22/25

Caption

Relative to prohibiting insurance companies from conducting an audit of providers services after services have been delivered but before payment has been made to such provider.

Impact

If enacted, the bill will amend RSA 415:6-i to create a legal framework that prevents insurers from retroactively denying claims based on audits conducted after services have been performed. By defining specific obligations for insurers post-violation, the bill could lead to faster reimbursements for providers, mitigating financial strain due to delayed payments. The bill also stipulates that insurers must cover all associated costs for providers when audits are performed in violation of the new rules, thereby increasing financial accountability for insurance companies.

Summary

House Bill 706 (HB706) aims to enhance the protections surrounding healthcare providers in New Hampshire by prohibiting insurance companies from conducting audits of provider services after services have been rendered but prior to payment. This legislative measure is significant as it shifts the balance of power towards healthcare providers by ensuring that they receive timely payments for services without the threat of retrospective audits that could potentially delay or deny those payments.

Contention

There are notable points of contention regarding the bill, primarily from within the insurance industry. Insurers may argue that the inability to audit services after delivery could lead to increased costs and potential loss of revenue, which they might offset by raising premiums. This could create a backlash affecting the overall affordability of health insurance for consumers. On the other hand, advocates for the bill include healthcare providers who argue that unnecessary audits complicate the reimbursement process and may prevent timely care for patients due to financial disputes.

Fiscal_impact

The fiscal note associated with HB706 indicates that while there will be no immediate revenue impact in FY 2025, subsequent years may see an indeterminable increase in costs related to insurance premiums. This is primarily due to the administrative costs insurers may incur as they adjust to the new regulations, potentially leading to higher Insurance Premium Tax revenues. Furthermore, local and county governments that purchase health insurance could also see an indeterminable impact on expenditures over the next few years as they adapt to the changes in billing practices.