To Mandate Coverage For Delivery Of A Newborn In A Licensed Birthing Center.
Summary
HB1826 requires health benefit plans offered, issued, renewed, delivered, or extended in Arkansas to cover birthing services provided in a licensed birthing center on the same basis as birthing services provided in a hospital. Beginning January 1, 2026, the required coverage must be comparable to hospital coverage for the same services, and the bill prohibits insurers from imposing a higher deductible, coinsurance, copayment, or out-of-pocket limit for birthing center services than for other covered benefits.
The bill defines key terms such as “health benefit plan,” “healthcare insurer,” and “licensed birthing center,” and it expressly includes the Arkansas Medicaid Program and the Arkansas Health and Opportunity for Me Program within the coverage framework. It also authorizes the Insurance Commissioner and the Department of Human Services to adopt rules to implement the new requirements, including rules applicable to Medicaid and ARHOME.
Impact
HB1826 amends Arkansas insurance law by creating a new subchapter in Title 23, Chapter 79 that mandates parity coverage for childbirth services in licensed birthing centers. It expands the scope of regulated coverage obligations for private health insurers and certain public health programs, while excluding specified plan types such as dental-only, vision-only, disability income, accident-only, and certain other limited-benefit plans. The practical effect is to require insurers and applicable state health programs to treat licensed birthing center deliveries similarly to hospital deliveries for benefit design and cost-sharing purposes.
Sentiment
The bill appears to have broad legislative support based on its strong floor vote margins in both chambers, passing the House 91-1 and the Senate 31-1. The available record does not include committee testimony or debate, but the voting history suggests the measure was generally viewed favorably and not especially controversial among lawmakers.
Contention
The main policy issue raised by the bill is whether insurers and public programs should be required to cover birthing center deliveries on the same terms as hospital births, including limits on cost-sharing. Potential points of contention would likely involve the added cost to insurers and Medicaid, the scope of plans covered, and whether parity coverage could affect utilization or provider networks. However, the near-unanimous votes indicate that any opposition was limited; only one member in each chamber voted against the bill.