609.001 Joint ventures; legislative findings.
609.03 Indication of operations.
609.05 Primary provider and referrals.
609.10 Standard plan required.
609.15 Grievance procedure.
609.17 Reports of disciplinary action.
609.20 Rules for preferred provider plans.
609.60 Optometric coverage.
609.65 Coverage for court-ordered services for the mentally ill.
609.655 Coverage of certain services provided to dependent students.
609.70 Chiropractic coverage.
609.75 Adopted children coverage.
609.80 Coverage of mammograms.
609.81 Coverage related to HIV infection.
609.85 Coverage of lead screening.
609.91 Restrictions on recovering health care costs.
609.92 Hospitals, individual practice associations and providers of physician services.
609.925 Election to be subject to restrictions.
609.93 Scope of election by an individual practice association or clinic.
609.935 Notices of election and termination.
609.94 Summary of restrictions.
609.95 Minimum covered liabilities.
609.96 Initial capital and surplus requirements.
609.97 Compulsory and security surplus.
Ch. 609 Cross-reference
Cross-reference: See definitions in ss.
600.03 and
628.02.
609.001
609.001
Joint ventures; legislative findings. 609.001(1)
(1) The legislature finds that increased development of health maintenance organizations, preferred provider plans and limited service health organizations may have the effect of putting small, independent health care providers at a competitive disadvantage with larger health care providers. In order to avoid monopolistic situations and to provide competitive alternatives, it may be necessary for those small, independent health care providers to form joint ventures. The legislature finds that these joint ventures are a desirable means of health care cost containment to the extent that they increase the number of entities with which a health maintenance organization, preferred provider plan or limited service health organization may choose to contract and to the extent that the joint ventures do not violate state or federal antitrust laws.
609.001(2)
(2) The legislature finds that competition in the health care market will be enhanced by allowing employers and organizations which otherwise act independently to join together in a manner consistent with the state and federal antitrust laws for the purpose of purchasing health care coverage for employes and members. These joint ventures will allow purchasers of health care coverage to obtain volume discounts when they negotiate with insurers and health care providers. These joint ventures should result in an improved business climate in this state because of reduced costs for health care coverage.
609.001 History
History: 1985 a. 29.
609.01
609.01
Definitions. In this chapter:
609.01(1)
(1) "Covered liability" means liability of a health maintenance organization insurer for health care costs for which an enrolled participant or policyholder of the health maintenance organization insurer is not liable to any person under
s. 609.91.
609.01(1d)
(1d) "Enrolled participant" means a person entitled to health care services under an individual or group policy issued by a health maintenance organization, limited service health organization or preferred provider plan.
609.01(1j)
(1j) "Health care costs" means consideration for the provision of health care, including consideration for services, equipment, supplies and drugs.
609.01(2)
(2) "Health maintenance organization" means a health care plan offered by an organization established under
ch. 185,
611,
613 or
614 or issued a certificate of authority under
ch. 618 that makes available to its enrolled participants, in consideration for predetermined periodic fixed payments, comprehensive health care services performed by providers selected by the organization.
609.01(3)
(3) "Limited service health organization" means a health care plan offered by an organization established under
ch. 185,
611,
613 or
614 or issued a certificate of authority under
ch. 618 that makes available to its enrolled participants, in consideration for predetermined periodic fixed payments, a limited range of health care services performed by providers selected by the organization.
609.01(4)
(4) "Preferred provider plan" means a health care plan offered by an organization established under
ch. 185,
611,
613 or
614 or issued a certificate of authority under
ch. 618 that makes available to its enrolled participants, for consideration other than predetermined periodic fixed payments, either comprehensive health care services or a limited range of health care services performed by providers selected by the organization.
609.01(5)
(5) "Primary provider" means a selected provider who is an individual and who is designated by an enrolled participant.
609.01(5m)
(5m) "Provider" means a health care professional, a health care facility or a health care service or organization.
609.01(6)
(6) "Selected provider" means a provider selected by a health maintenance organization, limited service health organization or preferred provider plan to perform health care services for enrolled participants.
609.01(7)
(7) "Standard plan" means a health care plan other than a health maintenance organization or a preferred provider plan.
609.01 History
History: 1985 a. 29;
1989 a. 23.
609.03
609.03
Indication of operations. 609.03(1)
(1)
Certificate of authority. An insurer may apply to the commissioner for a new or amended certificate of authority that limits the insurer to engaging in only the types of insurance business described in
sub. (3).
609.03(2)
(2) Statement of operations. If an insurer is a cooperative association organized under
ss. 185.981 to
185.985, the insurer may apply to the commissioner for a statement of operations that limits the insurer to engaging in only the types of insurance business described in
sub. (3).
609.03(3)(a)(a) An insurer that has a new or amended certificate of authority under
sub. (1) or a statement of operations under
sub. (2) may engage in only the following types of insurance business:
609.03(3)(a)3.
3. In other insurance business that is immaterial in relation to, or incidental to, the insurer's business under
subd. 1. or
2.
609.03(3)(b)
(b) The commissioner may, by rule, define "immaterial" or "incidental", or both, for purposes of
par. (a) 3. as a percentage of premiums, except the percentage may not exceed 10% of the total premiums written by the insurer.
609.03(4)
(4) Removing restrictions. An amendment to a certificate of authority or statement of operations that removes the limitation imposed under this section is not effective unless the insurer, on the effective date of the amendment, complies with the capital, surplus and other requirements applicable to the insurer under
chs. 600 to
645.
609.03 History
History: 1989 a. 23.
609.05
609.05
Primary provider and referrals. 609.05(1)
(1) Except as provided in
subs. (2) and
(3), a health maintenance organization, limited service health organization or preferred provider plan shall permit its enrolled participants to choose freely among selected providers.
609.05(2)
(2) A health care plan under
sub. (1) may require an enrolled participant to designate a primary provider and to obtain health care services from the primary provider when reasonably possible.
609.05(3)
(3) Except as provided in
ss. 609.65 and
609.655, a health care plan under
sub. (1) may require an enrolled participant to obtain a referral from the primary provider designated under
sub. (2) to another selected provider prior to obtaining health care services from the other selected provider.
609.10
609.10
Standard plan required. 609.10(1)(a)(a) Except as provided in
subs. (2) to
(4), an employer that offers any of its employes a health maintenance organization or a preferred provider plan that provides comprehensive health care services shall also offer the employes a standard plan, as provided in
pars. (b) and
(c), that provides at least substantially equivalent coverage of health care expenses and that is not a health maintenance organization or a preferred provider plan.
609.10(1)(b)
(b) At least once annually, the employer shall provide the employes the opportunity to enroll in the health care plans under
par. (a).
609.10(1)(c)
(c) The employer shall provide the employes adequate notice of the opportunity to enroll in the health care plans under
par. (a) and shall provide the employes complete and understandable information concerning the differences between the health maintenance organization or preferred provider plan and the standard plan.
609.10(2)
(2) If, after providing an opportunity to enroll under
sub. (1) (b) and the notice and information under
sub. (1) (c), fewer than 25 employes indicate that they wish to enroll in the standard plan under
sub. (1) (a), the employer need not offer the standard plan on that occasion.
609.10(3)
(3) Subsection (1) does not apply to an employer that employs fewer than 25 full-time employes.
609.10(4)
(4) Nothing in
sub. (1) requires an employer to offer a particular health care plan to an employe if the health care plan determines that the employe does not meet reasonable medical underwriting standards of the health care plan.
609.10(5)
(5) The commissioner may establish by rule standards in addition to those established under
s. 609.20 for what constitutes adequate notice and complete and understandable information under
sub. (1) (c).
609.10 History
History: 1985 a. 29.
609.15
609.15
Grievance procedure. 609.15(1)(1) Each health maintenance organization, limited service health organization and preferred provider plan shall do all of the following:
609.15(1)(a)
(a) Establish and use an internal grievance procedure that is approved by the commissioner and that complies with
sub. (2) for the resolution of enrolled participants' grievances with the health care plan.
609.15(1)(b)
(b) Provide enrolled participants with complete and understandable information describing the internal grievance procedure under
par. (a).
609.15(1)(c)
(c) Submit an annual report to the commissioner describing the internal grievance procedure under
par. (a) and summarizing the experience under the procedure for the year.
609.15(2)
(2) The internal grievance procedure established under
sub. (1) (a) shall include all of the following elements:
609.15(2)(a)
(a) The opportunity for an enrolled participant to submit a written grievance in any form.
609.15(2)(b)
(b) Establishment of a grievance panel for the investigation of each grievance submitted under
par. (a), consisting of at least one individual authorized to take corrective action on the grievance and at least one enrolled participant other than the grievant, if an enrolled participant is available to serve on the grievance panel.
609.15(2)(c)
(c) Prompt investigation of each grievance submitted under
par. (a).
609.15(2)(d)
(d) Notification to each grievant of the disposition of his or her grievance and of any corrective action taken on the grievance.
609.15(2)(e)
(e) Retention of records pertaining to each grievance for at least 3 years after the date of notification under
par. (d).
609.15 History
History: 1985 a. 29.
609.17
609.17
Reports of disciplinary action. Every health maintenance organization, limited service health organization and preferred provider plan shall notify the medical examining board or appropriate affiliated credentialing board attached to the medical examining board of any disciplinary action taken against a selected provider who holds a license or certificate granted by the board or affiliated credentialing board.
609.17 History
History: 1985 a. 340;
1993 a. 107.
609.20
609.20
Rules for preferred provider plans. The commissioner shall promulgate rules applicable to preferred provider plans for all of the following purposes:
609.20(1)
(1) To ensure that enrolled participants are not forced to travel excessive distances to receive health care services.
609.20(2)
(2) To ensure that the continuity of patient care for enrolled participants is not disrupted.
609.20(3)
(3) To define substantially equivalent coverage of health care expenses for purposes of
s. 609.10 (1) (a).
