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Regence Blue Cross Blue Shield of Oregon
Oregon state health insurance For Physicians, Other Health Care Professionals and Facilities
Legislation

Oregon Patient Protection Act amendments
In the 2001 legislative session, Oregon passed House Bill 3040 (HB 3040), which amends the Oregon Patient Protection Act of 1996. HB 3040, effective July 1, 2002, mandates the following:

  • Continuity of care. Continuity of care ensures that a person undergoing a course of treatment is entitled to continue care with his or her managed care provider (under certain circumstances) for up to 120 days after the physician or other provider has left the managed care network. This is an extension of our previous 90-day continuity of care policy. Regence BCBSO has revised our procedures to allow continuity of care for up to 120 days for qualifying circumstances.

    As a reminder, our procedure is to send a letter to all members assigned to a PCP who terminates their contract and members with open referrals to a specialist who has terminated advising them of the termination. In non-referral situations, we will notify all members who have claims from the terminated provider within the past 90 days. The member may contact Customer Service if they wish to continue seeing the physician for the 120 day period. In this situation, we will contact the physician office to request the continuation. To continue seeing the member, the physician must agree to accept the contracted fee schedule as payment in full, share information such as treatment plans with Regence BCBSO Oregon, and to follow our utilization management policies and procedures.

  • Standing referrals to specialists. Insurers must have established procedures for allowing standing referrals to specialists so a member does not need to obtain repeated referrals for each visit to the same specialist. Regence BCBSO procedures are in compliance with this requirement.
  • External review. Health plan members may request review of denied claims from an independent, external review organization contracted with the State of Oregon. External reviews will be permitted on matters pertaining to medical necessity, investigational or experimental services and continuity of care. Regence BCBSO already had external review as part of the member appeal process prior to the passage of HB3040.
  • Network adequacy. Oregon insurers were required to submit a network adequacy report to the state for managed care networks. HB 3040 placed an additional requirement on insurers to submit similar reporting for PPO networks.
  • Limited right to sue. Members have a limited right to sue when an insurer chooses to offer non-binding external review and then refuses to comply with the external review decision. Insurers who have agreed to binding external review are subject to fines if they fail to comply with their contracts. Regence BCBSO decided to be bound by the independent review organization’s decisions.

    Exclusions: HB3040 does not apply to First Choice Sixty-Five, Preferred Choice Sixty-Five, Federal Employee Program (FEP), self-insured groups and policies issued outside of Oregon (BlueCard).

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