AN ACT to create and enact a new section to chapter 26.1-47 of the North Dakota Century Code, relating to method of dental payment options in preferred provider arrangements.
Summary
HB 1471 creates a new section in North Dakota Century Code chapter 26.1-47 governing how dental insurers and third-party payor vendors may pay dental providers under preferred provider arrangements. The bill prohibits arrangements that require credit card payment as the only acceptable method of payment. It also requires insurers or their vendors to notify dental providers when a payment method carries fees, explain available payment options and how to choose a fee-free alternative, and disclose when the insurer shares in credit card processing fees.
The bill further limits fees associated with automated clearinghouse (ACH) payments. A dental provider or contracted vendor may not charge a fee solely for transmitting an ACH payment unless the dental provider has agreed to that fee. At the same time, the bill preserves the ability of a provider’s agent to charge reasonable fees for additional services such as transaction management, data management, portal services, and other value-added services beyond the bank transmittal itself. The bill defines the relevant terms by reference to existing law in section 26.1-36.9-01.
Impact
HB 1471 affects the regulation of dental insurance payment practices in preferred provider arrangements by adding consumer- and provider-protection requirements to chapter 26.1-47. It limits contractual payment restrictions, increases transparency around payment-related fees, and restricts certain pass-through or transmission fees unless consent is given. The practical effect is to give dental providers more choice in how they receive payments and more information about costs associated with electronic payment methods, while still allowing fees for separately identifiable administrative services.
Sentiment
The bill appears to have broad bipartisan support and little visible opposition. It passed the House 93-0 and the Senate 45-0, indicating unanimous support in both chambers. With no committee transcript available, the voting record suggests the measure was viewed as a straightforward regulatory clarification or provider-protection bill rather than a controversial policy change.
Contention
No major contention is evident in the available record. The main policy issue addressed by the bill is whether dental insurers or their vendors can steer providers toward credit card or other fee-bearing payment methods and whether those fees must be disclosed or consented to. Any potential disagreement would likely center on the administrative burden for insurers and vendors versus the financial impact on dental providers, but the unanimous votes suggest those concerns did not generate significant opposition.
AN ACT to create and enact a new section to chapter 26.1-47 of the North Dakota Century Code, relating to method of dental payment options in preferred provider arrangements.
AN ACT to amend and reenact section 26.1-47-02.1 of the North Dakota Century Code, relating to preferred provider arrangements and restrictions on dental care services.
AN ACT to create and enact a new section to chapter 43-28 of the North Dakota Century Code, relating to joint negotiations by dental providers with dental insurers.
AN ACT to create and enact two new sections to chapter 26.1-36.9 of the North Dakota Century Code, relating to dental insurer rate requirements and reporting; and to provide an effective date.
AN ACT to create and enact a new section to chapter 26.1-45 of the North Dakota Century Code, relating to long-term care insurance policy terms and claim payments.