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HB 1771

TO AMEND THE LAW CONCERNING DISCLOSURES TO POLICYHOLDERS; AND TO REQUIRE MONTHLY REPORTING BY INSURERS.

2025 Regular Session Introduced by Reginald Murdock and 1 co-sponsor

House Bill 1771 mandates insurers to provide monthly reports on premiums and claims to policyholders with over 50 employees, enhancing transparency in healthcare costs.

Notification that HB1771 is now Act 651
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Bill Summary · HB 1771

Summary of House Bill 1771 (Act 651)

Bill Number: HB 1771
Title: To Amend the Law Concerning Disclosures to Policyholders; and to Require Monthly Reporting by Insurers
Status: Enacted as Act 651
Introduced: March 12, 2025
Authors: Representative Perry and Senator R. Murdock

Purpose and Intent

House Bill 1771 aims to enhance transparency in the insurance industry by amending existing laws related to disclosures made to policyholders. The bill specifically requires insurers to provide detailed monthly reports to policyholders with a significant number of insured employees, thereby improving access to important insurance data.

Key Provisions

  1. Disclosure Requirements:

    • Insurers must provide a monthly premium, claims, and enrollment report to policyholders who have more than 50 insured employees under a comprehensive group health insurance policy.
    • The report must include:
      • Monthly medical claims paid.
      • Monthly pharmacy claims paid.
      • Monthly premiums paid.
      • The number of dependents enrolled.
      • Claims exceeding $10,000 for any individual during the reporting period.

  2. High-Cost Claimant Reports:

    • Insurers are also required to provide a high-cost claimant report for enrolled members with claims exceeding $10,000. This report must detail:
      • Total medical claims paid.
      • Total pharmacy claims paid.
      • Current coverage status (active or terminated).

  3. Timeliness of Reporting:

    • Reports must be delivered to the policyholder no later than 30 days from the date of the request.

  4. Confidentiality Provisions:

    • The bill ensures that insurers are not required to disclose any information that is confidential under existing laws, including those governed by the Health Insurance Portability and Accountability Act (HIPAA).

Impact

  • Policyholders: The bill primarily affects policyholders with more than 50 insured employees, providing them with greater insight into their insurance costs and claims.
  • Insurers: Insurance companies will need to implement systems to generate and deliver these reports monthly, which may involve additional administrative costs.
  • Healthcare Transparency: By mandating these disclosures, the bill aims to foster greater transparency in healthcare costs and claims, potentially leading to more informed decision-making by policyholders.

Legislative Timeline

  • March 12, 2025: Bill filed and read for the first time.
  • April 1, 2025: Bill passed in the House and transmitted to the Senate.
  • April 3, 2025: Returned by the Committee with a recommendation to pass as amended.
  • April 9, 2025: Passed in the Senate with amendments and returned to the House.
  • April 10, 2025: Concurred in Senate Amendment No. 1 and ordered to be enrolled.
  • April 16, 2025: Notification that HB 1771 is now Act 651.

This legislation represents a significant step towards improving the transparency of health insurance reporting in Arkansas, ensuring that policyholders have access to critical information about their insurance plans.

Compiled from official sources — confirm details with the bill’s official record.

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