INSURANCE -- ACCIDENT AND SICKNESS INSURANCE POLICIES, the official text

S3156 2026 -- S 3156 ======== LC006202 ======== STATE OF RHODE ISLAND IN GENERAL ASSEMBLY JANUARY SESSION, A.D. 2026 ____________ A N A C T RELATING TO INSURANCE -- ACCIDENT AND SICKNESS INSURANCE POLICIES Introduced By: Senators Gallo, and DiPalma Date Introduced: March 27, 2026 Referred To: Senate Health & Human Services It is enacted by the General Assembly as follows: 1 SECTION 1. Chapter 27-18 of the General Laws entitled Accident and Sickness Insurance 2 Policies is hereby amended by adding thereto the following section: 3 27-18-96. Methods of payment. 4 (a) No contract between a dental plan or other healthcare entity and a dentist for the 5 provision of services to beneficiaries shall require the dentist to accept payment exclusively by 6 means of any form of payment method that requires dentists to pay fees or charges to release 7 payment including virtual credit cards. A dental plan or other healthcare entity may initiate or 8 change to a payment methodology that requires dentists to pay fees or charges to release payment, 9 including virtual credit card payments, if the dental plan or healthcare entity: 10 (1) Informs the dentist of all available methods of payment; 11 (2) Provides clear and accessible instructions for the selection of an alternative method of 12 payment; 13 (3) Ensures that the dentist may exercise such selection without restriction; and 14 (4) The provider or a designee of the provider elects, through express acceptance, to accept 15 a payment of the claim using the credit card or electronic funds transfer payment method. Violation 16 of express acceptance nullifies any election on claim payment methodology until such time as 17 express agreement is executed. 18 (b) Neither the dental plan, the healthcare entity, nor any affiliated healthcare payments 19 platform shall impose any fee or charge upon the dentist for access to payment or claims data; the 1 transmission or processing of payment; or the issuance or mailing of payment. 2 (c) As used in this section, the following terms have the following meanings, unless the 3 context clearly indicates otherwise: 4 (1) Alternative payment method means any form of payment other than virtual credit 5 cards such as electronic funds transfers ( EFT ) or automated clearing house payment ( ACH ) or 6 paper check. 7 (2) Dental plan means a policy or program that provides a specified level of dental 8 benefits for procedures rendered by a dentist or hygienist, to a member or subscriber. 9 (3) Dentist means a licensed individual under chapter 31.1 of title 5 ( dentists and dental 10 hygienists ). 11 (4) Express acceptance means a clear and direct agreement to the terms of payment 12 method, communicated explicitly by the dental plan to the dentist, in writing, signifying acceptance 13 of the payment method without any ambiguity or implied actions. 14 (5) Healthcare entity means any for profit or nonprofit dental service corporation or any 15 for profit or nonprofit hospital service corporation providing dental plans or any other entity 16 providing dental plans and entering into provider contracts with dentists in the State of Rhode 17 Island. 18 (6) Healthcare payments platform means any form of payment processor directly linked 19 to or under contract with a healthcare entity. 20 (7) Virtual credit card means a form of electronic funds transfer utilizing a single-use 21 series of numbers and specific payment amount which the payee is required to process manually. 22 SECTION 2. Chapter 27-19 of the General Laws entitled Nonprofit Hospital Service 23 Corporations is hereby amended by adding thereto the following section: 24 27-19-88. Methods of payment. 25 (a) No contract between a dental plan or other healthcare entity and a dentist for the 26 provision of services to beneficiaries shall require the dentist to accept payment exclusively by 27 means of any form of payment method that requires dentists to pay fees or charges to release 28 payment including virtual credit cards. A dental plan or other healthcare entity may initiate or 29 change to a payment methodology that requires dentists to pay fees or charges to release payment, 30 including virtual credit card payments, if the dental plan or healthcare entity: 31 (1) Informs the dentist of all available methods of payment; 32 (2) Provides clear and accessible instructions for the selection of an alternative method of 33 payment; 34 (3) Ensures that the dentist may exercise such selection without restriction; and LC006202 - Page 2 of 7 1 (4) The provider or a designee of the provider elects, through express acceptance, to accept 2 a payment of the claim using the credit card or electronic funds transfer payment method. Violation 3 of express acceptance nullifies any election on claim payment methodology until such time as 4 express agreement is executed. 5 (b) Neither the dental plan, the healthcare entity, nor any affiliated healthcare payments 6 platform shall impose any fee or charge upon the dentist for access to payment or claims data; the 7 transmission or processing of payment; or the issuance or mailing of payment. 8 (c) As used in this section, the following terms have the following meanings, unless the 9 context clearly indicates otherwise: 10 (1) Alternative payment method means any form of payment other than virtual credit 11 cards such as electronic funds transfers ( EFT ) or automated clearing house payment ( ACH ) or 12 paper check. 13 (2) Dental plan means a policy or program that provides a specified level of dental 14 benefits for procedures rendered by a dentist or hygienist, to a member or subscriber. 15 (3) Dentist means a licensed individual under chapter 31.1 of title 5 ( dentists and dental 16 hygienists ). 17 (4) Express acceptance means a clear and direct agreement to the terms of payment 18 method, communicated explicitly by the dental plan to the dentist, in writing, signifying acceptance 19 of the payment method without any ambiguity or implied actions. 20 (5) Healthcare entity means any for profit or nonprofit dental service corporation or any 21 for profit or nonprofit hospital service corporation providing dental plans or any other entity 22 providing dental plans and entering into provider contracts with dentists in the State of Rhode 23 Island. 24 (6) Healthcare payments platform means any form of payment processor directly linked 25 to or under contract with a healthcare entity. 26 (7) Virtual credit card means a form of electronic funds transfer utilizing a single-use 27 series of numbers and specific payment amount which the payee is required to process manually. 28 SECTION 3. Chapter 27-20 of the General Laws entitled Nonprofit Medical Service 29 Corporations is hereby amended by adding thereto the following section: 30 27-20-84. Methods of payment. 31 (a) No contract between a dental plan or other healthcare entity and a dentist for the 32 provision of services to beneficiaries shall require the dentist to accept payment exclusively by 33 means of any form of payment method that requires dentists to pay fees or charges to release 34 payment including virtual credit cards. A dental plan or other healthcare entity may initiate or LC006202 - Page 3 of 7 1 change to a payment methodology that requires dentists to pay fees or charges to release payment, 2 including virtual credit card payments, if the dental plan or healthcare entity: 3 (1) Informs the dentist of all available methods of payment; 4 (2) Provides clear and accessible instructions for the selection of an alternative method of 5 payment; 6 (3) Ensures that the dentist may exercise such selection without restriction; and 7 (4) The provider or a designee of the provider elects, through express acceptance, to accept 8 a payment of the claim using the credit card or electronic funds transfer payment method. Violation 9 of express acceptance nullifies any election on claim payment methodology until such time as 10 express agreement is executed. 11 (b) Neither the dental plan, the healthcare entity, nor any affiliated healthcare payments 12 platform shall impose any fee or charge upon the dentist for access to payment or claims data; the 13 transmission or processing of payment; or the issuance or mailing of payment. 14 (c) As used in this section, the following terms have the following meanings, unless the 15 context clearly indicates otherwise: 16 (1) Alternative payment method means any form of payment other than virtual credit 17 cards such as electronic funds transfers ( EFT ) or automated clearing house payment ( ACH ) or 18 paper check. 19 (2) Dental plan means a policy or program that provides a specified level of dental 20 benefits for procedures rendered by a dentist or hygienist, to a member or subscriber. 21 (3) Dentist means a licensed individual under chapter 31.1 of title 5 ( dentists and dental 22 hygienists ). 23 (4) Express acceptance means a clear and direct agreement to the terms of payment 24 method, communicated explicitly by the dental plan to the dentist, in writing, signifying acceptance 25 of the payment method without any ambiguity or implied actions. 26 (5) Healthcare entity means any for profit or nonprofit dental service corporation or any 27 for profit or nonprofit hospital service corporation providing dental plans or any other entity 28 providing dental plans and entering into provider contracts with dentists in the State of Rhode 29 Island. 30 (6) Healthcare payments platform means any form of payment processor directly linked 31 to or under contract with a healthcare entity. 32 (7) Virtual credit card means a form of electronic funds transfer utilizing a single-use 33 series of numbers and specific payment amount which the payee is required to process manually. 34 SECTION 4. Chapter 27-41 of the General Laws entitled Health Maintenance LC006202 - Page 4 of 7 1 Organizations is hereby amended by adding thereto the following section: 2 27-41-101. Methods of payment. 3 (a) No contract between a dental plan or other healthcare entity and a dentist for the 4 provision of services to beneficiaries shall require the dentist to accept payment exclusively by 5 means of any form of payment method that requires dentists to pay fees or charges to release 6 payment including virtual credit cards. A dental plan or other healthcare entity may initiate or 7 change to a payment methodology that requires dentists to pay fees or charges to release payment, 8 including virtual credit card payments, if the dental plan or healthcare entity: 9 (1) Informs the dentist of all available methods of payment; 10 (2) Provides clear and accessible instructions for the selection of an alternative method of 11 payment; 12 (3) Ensures that the dentist may exercise such selection without restriction; and 13 (4) The provider or a designee of the provider elects, through express acceptance, to accept 14 a payment of the claim using the credit card or electronic funds transfer payment method. Violation 15 of express acceptance nullifies any election on claim payment methodology until such time as 16 express agreement is executed. 17 (b) Neither the dental plan, the healthcare entity, nor any affiliated healthcare payments 18 platform shall impose any fee or charge upon the dentist for access to payment or claims data; the 19 transmission or processing of payment; or the issuance or mailing of payment. 20 (c) As used in this section, the following terms have the following meanings, unless the 21 context clearly indicates otherwise: 22 (1) Alternative payment method means any form of payment other than virtual credit 23 cards such as electronic funds transfers ( EFT ) or automated clearing house payment ( ACH ) or 24 paper check. 25 (2) Dental plan means a policy or program that provides a specified level of dental 26 benefits for procedures rendered by a dentist or hygienist, to a member or subscriber. 27 (3) Dentist means a licensed individual under chapter 31.1 of title 5 ( dentists and dental 28 hygienists ). 29 (4) Express acceptance means a clear and direct agreement to the terms of payment 30 method, communicated explicitly by the dental plan to the dentist, in writing, signifying acceptance 31 of the payment method without any ambiguity or implied actions. 32 (5) Healthcare entity means any for profit or nonprofit dental service corporation or any 33 for profit or nonprofit hospital service corporation providing dental plans or any other entity 34 providing dental plans and entering into provider contracts with dentists in the State of Rhode LC006202 - Page 5 of 7 1 Island. 2 (6) Healthcare payments platform means any form of payment processor directly linked 3 to or under contract with a healthcare entity. 4 (7) Virtual credit card means a form of electronic funds transfer utilizing a single-use 5 series of numbers and specific payment amount which the payee is required to process manually. 6 SECTION 5. This act shall take effect on January 1, 2027. ======== LC006202 ======== LC006202 - Page 6 of 7 EXPLANATION BY THE LEGISLATIVE COUNCIL OF A N A C T RELATING TO INSURANCE -- ACCIDENT AND SICKNESS INSURANCE POLICIES *** 1 This act would provide that no contract between a dental plan or other healthcare entity 2 and a dentist for the provision of services to beneficiaries would require the dentist to accept 3 payment exclusively by means of any form of payment method that requires dentists to pay fees or 4 charges to release payment including virtual credit cards. 5 This act would take effect on January 1, 2027. ======== LC006202 ======== LC006202 - Page 7 of 7