Bill Text: MN HF2749 | 2011-2012 | 87th Legislature | Engrossed
Bill Title: Auto insurance claims practices regulated.
Sponsorship: Partisan Bill (Republican 2)
Status: (Introduced - Dead) 2012-03-28 - HF indefinitely postponed [HF2749 Detail]
Download: Minnesota-2011-HF2749-Engrossed.html
1.2relating to commerce; regulating auto insurance claims practices; providing for
1.3the evaluation of health care provided under the no-fault automobile insurance
1.4system;amending Minnesota Statutes 2010, sections 65B.54, subdivision 6;
1.5609.612, subdivision 1.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.7 Section 1. Minnesota Statutes 2010, section 65B.54, subdivision 6, is amended to read:
1.8 Subd. 6. Unethical practices. (a) A licensed health care provider shall not initiate
1.9direct contact, in person, over the telephone, or by other electronic means, with any person
1.10who has suffered an injury arising out of the maintenance or use of an automobile, for the
1.11purpose of influencing that person to receive treatment or to purchase any good or item
1.12from the licensee or anyone associated with the licensee. This subdivision prohibits such
1.13direct contact whether initiated by the licensee individually or on behalf of the licensee by
1.14any employee, independent contractor, agent, or third party, including a capper, runner, or
1.15steerer, as defined in section 609.612, subdivision 1, paragraph (c). This subdivision does
1.16not apply when an injured person voluntarily initiates direct contact with a licensee.
1.17 (b) This subdivision does not prohibit licensees, or persons acting on their behalf,
1.18from mailing advertising literature directly to such persons, so long as:
1.19 (1) the word "ADVERTISEMENT" appears clearly and conspicuously at the
1.20beginning of the written materials;
1.21 (2) the name of the individual licensee appears clearly and conspicuously within
1.22the written materials;
1.23 (3) the licensee is clearly identified as a licensed health care provider within the
1.24written materials; and
2.1 (4) the licensee does not initiate, individually or through any employee, independent
2.2contractor, agent, or third party, direct contact with the person after the written materials
2.3are sent.
2.4 (c) This subdivision does not apply to:
2.5 (1) advertising that does not involve direct contact with specific prospective patients,
2.6in public media such as telephone directories, professional directories, ads in newspapers
2.7and other periodicals, radio or television ads, Web sites, billboards, or similar media;
2.8 (2) general marketing practices such as giving lectures; participating in special
2.9events, trade shows, or meetings of organizations; or making presentations relative to the
2.10benefits ofchiropractic a specific medical treatment;
2.11 (3) contact with friends or relatives, or statements made in a social setting;
2.12 (4) direct contact initiated by an ambulance service licensed under chapter 144E, a
2.13medical response unit registered under section144E.275 , or by the emergency department
2.14of a hospital licensed under chapter 144, for the purpose of rendering emergency care; or
2.15 (5) a situation in which the injured person:
2.16 (i) had a prior professional relationship with the licensee;
2.17 (ii) has selected that licensee as the licensee from whom the injured person receives
2.18health care; or
2.19 (iii) has received treatment related to the accident from the licensee.
2.20 (d) Any solicitations or advertisements for medical treatment of an injury arising
2.21out of the maintenance or use of an automobile shall only be undertaken by a Minnesota
2.22licensed health care provider using the licensee's own legal name and the legal name of
2.23the licensee's clinic. The advertisement or solicitation shall not include an assumed or
2.24fictitious name for the licensee or clinic. The licensee's legal name or the legal name of
2.25the licensee's clinic must be prominently displayed or referenced in the solicitation or
2.26advertisement. The legal name of a provider's clinic shall accurately describe the nature of
2.27its practice and shall not include a telephone number, Internet address, or other misleading
2.28description of the provider.
2.29(e) A violation of this subdivision is grounds for the licensing authority to take
2.30disciplinary action against the licensee, including revocation in appropriate cases. In
2.31addition, charges for any services provided by a health care provider in violation of this
2.32subdivision are not compensable and not enforceable as a matter of law. In any action
2.33challenging whether such charges are in violation of this subdivision, a reparation obligor
2.34may initiate or remove such an action directly to district court.
2.35 Sec. 2. Minnesota Statutes 2010, section 609.612, subdivision 1, is amended to read:
3.1 Subdivision 1. Definitions. (a) As used in this section, the following terms have
3.2the meanings given.
3.3(b) "Public media" means telephone directories, professional directories, newspapers
3.4and other periodicals, radio and television, billboards, and mailed or electronically
3.5transmitted written communications that do not involve in-person contact with a specific
3.6prospective patient or client.
3.7(c) "Runner," "capper," or "steerer" means a person who for a pecuniary
3.8gain procurespatients or clients or solicits prospective patients through telephonic
3.9communication, written communication, or in-person contact at the direction of, or in
3.10cooperation with, a health care provider when the person knows or has reason to know that
3.11the provider's purpose is tofraudulently perform or obtain services or benefits under or
3.12relating to a contract of motor vehicle insurance. The term runner, capper, or steerer does
3.13not include aperson licensed health care provider who directly procures clients through
3.14public media only using its own legal name.
3.15 Sec. 3. WORK GROUP; EVALUATION OF HEALTH CARE PROVIDED
3.16UNDER THE STATE'S NO-FAULT AUTOMOBILE INSURANCE SYSTEM.
3.17The chairs of the house Commerce and Regulatory Reform Committee and the
3.18senate Commerce and Consumer Protection Committee shall convene a work group to
3.19study and compare the delivery of health care services under the no-fault automobile
3.20systems established in other no-fault states to evaluate whether Minnesota law satisfies the
3.21objectives of Minnesota Statutes, section 65B.42, including examining medical treatment
3.22parameters or standards, dispute resolution mechanisms, medical fee schedules, and
3.23independent medical examinations. The work group shall report back to the committee
3.24chairs by October 15, 2012.
3.25EFFECTIVE DATE.This section is effective the day following final enactment.
1.3the evaluation of health care provided under the no-fault automobile insurance
1.4system;amending Minnesota Statutes 2010, sections 65B.54, subdivision 6;
1.5609.612, subdivision 1.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.7 Section 1. Minnesota Statutes 2010, section 65B.54, subdivision 6, is amended to read:
1.8 Subd. 6. Unethical practices. (a) A licensed health care provider shall not initiate
1.9direct contact, in person, over the telephone, or by other electronic means, with any person
1.10who has suffered an injury arising out of the maintenance or use of an automobile, for the
1.11purpose of influencing that person to receive treatment or to purchase any good or item
1.12from the licensee or anyone associated with the licensee. This subdivision prohibits such
1.13direct contact whether initiated by the licensee individually or on behalf of the licensee by
1.14any employee, independent contractor, agent, or third party, including a capper, runner, or
1.15steerer, as defined in section 609.612, subdivision 1, paragraph (c). This subdivision does
1.16not apply when an injured person voluntarily initiates direct contact with a licensee.
1.17 (b) This subdivision does not prohibit licensees
1.18from mailing advertising literature directly to such persons, so long as:
1.19 (1) the word "ADVERTISEMENT" appears clearly and conspicuously at the
1.20beginning of the written materials;
1.21 (2) the name of the individual licensee appears clearly and conspicuously within
1.22the written materials;
1.23 (3) the licensee is clearly identified as a licensed health care provider within the
1.24written materials; and
2.1 (4) the licensee does not initiate, individually or through any employee, independent
2.2contractor, agent, or third party, direct contact with the person after the written materials
2.3are sent.
2.4 (c) This subdivision does not apply to:
2.5 (1) advertising that does not involve direct contact with specific prospective patients,
2.6in public media such as telephone directories, professional directories, ads in newspapers
2.7and other periodicals, radio or television ads, Web sites, billboards, or similar media;
2.8 (2) general marketing practices such as giving lectures; participating in special
2.9events, trade shows, or meetings of organizations; or making presentations relative to the
2.10benefits of
2.11 (3) contact with friends or relatives, or statements made in a social setting;
2.12 (4) direct contact initiated by an ambulance service licensed under chapter 144E, a
2.13medical response unit registered under section
2.14of a hospital licensed under chapter 144, for the purpose of rendering emergency care; or
2.15 (5) a situation in which the injured person:
2.16 (i) had a prior professional relationship with the licensee;
2.17 (ii) has selected that licensee as the licensee from whom the injured person receives
2.18health care; or
2.19 (iii) has received treatment related to the accident from the licensee.
2.20 (d) Any solicitations or advertisements for medical treatment of an injury arising
2.21out of the maintenance or use of an automobile shall only be undertaken by a Minnesota
2.22licensed health care provider using the licensee's own legal name and the legal name of
2.23the licensee's clinic. The advertisement or solicitation shall not include an assumed or
2.24fictitious name for the licensee or clinic. The licensee's legal name or the legal name of
2.25the licensee's clinic must be prominently displayed or referenced in the solicitation or
2.26advertisement. The legal name of a provider's clinic shall accurately describe the nature of
2.27its practice and shall not include a telephone number, Internet address, or other misleading
2.28description of the provider.
2.29(e) A violation of this subdivision is grounds for the licensing authority to take
2.30disciplinary action against the licensee, including revocation in appropriate cases. In
2.31addition, charges for any services provided by a health care provider in violation of this
2.32subdivision are not compensable and not enforceable as a matter of law. In any action
2.33challenging whether such charges are in violation of this subdivision, a reparation obligor
2.34may initiate or remove such an action directly to district court.
2.35 Sec. 2. Minnesota Statutes 2010, section 609.612, subdivision 1, is amended to read:
3.1 Subdivision 1. Definitions. (a) As used in this section, the following terms have
3.2the meanings given.
3.3(b) "Public media" means telephone directories, professional directories, newspapers
3.4and other periodicals, radio and television, billboards, and mailed or electronically
3.5transmitted written communications that do not involve in-person contact with a specific
3.6prospective patient or client.
3.7(c) "Runner," "capper," or "steerer" means a person who for a pecuniary
3.8gain procures
3.9communication, written communication, or in-person contact at the direction of, or in
3.10cooperation with, a health care provider when the person knows or has reason to know that
3.11the provider's purpose is to
3.12relating to a contract of motor vehicle insurance. The term runner, capper, or steerer does
3.13not include a
3.14public media only using its own legal name.
3.15 Sec. 3. WORK GROUP; EVALUATION OF HEALTH CARE PROVIDED
3.16UNDER THE STATE'S NO-FAULT AUTOMOBILE INSURANCE SYSTEM.
3.17The chairs of the house Commerce and Regulatory Reform Committee and the
3.18senate Commerce and Consumer Protection Committee shall convene a work group to
3.19study and compare the delivery of health care services under the no-fault automobile
3.20systems established in other no-fault states to evaluate whether Minnesota law satisfies the
3.21objectives of Minnesota Statutes, section 65B.42, including examining medical treatment
3.22parameters or standards, dispute resolution mechanisms, medical fee schedules, and
3.23independent medical examinations. The work group shall report back to the committee
3.24chairs by October 15, 2012.
3.25EFFECTIVE DATE.This section is effective the day following final enactment.
