This bill takes effect in Jan 2025. It was passed this year. It is cutting edge because New Jersey has severely limited the time Payers are allowed to "drag their feet" on prior auth. The law currently allows 15 days on PA requests. Under the new law, urgent medication requests must be decided in 24 hours and non-urgent ones within 72 hours, with the treating physician determining urgency. For diagnostics and procedures 72 hours at most if urgent and nine days if non-urgent. Only New Jersey and Washington have passed laws like this.
This law also takes effect this year. Payers must offer more than one reimbursement for services. They typically are now reimbursing with a virtual credit card that comes with a 4 or 5% fee. In 2025 they will need to offer other types of reimbursement so groups can avoid a 4 or 5% charge.
The following are in the pipeline:
- The State Senate Budget and Appropriations Committee will hear
- S2988 which extends telemedicine and telehealth pay parity for an additional year.
- S1192 limits prior authorization and step therapy for mental health treatment
Stay tuned for more updates.
From measuring quality to completing prior authorization requirements, medical practices face mounting regulatory hurdles that interfere with clinical goals and improving patient outcomes. To help MGMA better educate Congress and the Administration about obstacles to delivering high-quality patient care, we are asking members to please take one minute to rank key regulatory issues from 1 to 10. You can access the poll here: https://www.surveymonkey.com/r/8CVH3J8.
Your feedback is greatly appreciated and will help guide MGMA's advocacy efforts in Washington, D.C., as we work to improve the regulatory landscape in which group practices operate.