AN ACT

 

1Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An
2act relating to insurance; amending, revising, and
3consolidating the law providing for the incorporation of
4insurance companies, and the regulation, supervision, and
5protection of home and foreign insurance companies, Lloyds
6associations, reciprocal and inter-insurance exchanges, and
7fire insurance rating bureaus, and the regulation and
8supervision of insurance carried by such companies,
9associations, and exchanges, including insurance carried by
10the State Workmen's Insurance Fund; providing penalties; and
11repealing existing laws," further providing for prompt
12payment to health care providers of clean claims.

13The General Assembly of the Commonwealth of Pennsylvania
14hereby enacts as follows:

15Section 1. Section 2166(a) of the act of May 17, 1921 
16(P.L.682, No.284), known as The Insurance Company Law of 1921,
17added June 17, 1998 (P.L.464, No.68), is amended to read:

18Section 2166. Prompt Payment of Claims.--(a) A licensed
19insurer or a managed care plan shall pay a clean claim submitted
20by a health care provider within forty-five (45) days of receipt

1of the clean claim[.] and where the clean claim involves 
2services provided by a licensed ambulance service and is paid in 
3the form of a negotiable instrument, the negotiable instrument 
4shall be made payable solely to the licensed ambulance service 
5for those services and notice of the payment shall be provided 
6by the licensed insurer or managed care plan to the insured or 
7subscriber.

8* * *

9Section 2. This act shall take effect in 60 days.