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Governor Strickland Signs House Bill 125 Into Law
Date:3/25/2008

COLUMBUS, Ohio, March 25 /PRNewswire-USNewswire/ -- In a ceremony attended by Ohio's physician leaders, Governor Ted Strickland today signed House Bill 125, one of the most sweeping physician-insurance industry contract reform bills in the country, into law.

The new law, which will take effect in ninety days, is composed of common-sense reforms to bring transparency to the contracting process, fairness in contracting, and a standardized and time-efficient physician credentialing process.

"This new law is a terrific step toward eliminating some of the most bureaucratic, unfair and anti-competitive practices that have been imposed on physicians by Ohio's HMOs and other health insurers," said OSMA President Craig W. Anderson, MD, a Columbus neonatologist. "When this bill takes effect, there will be more balance and fairness in the contracting process between physicians and health insurers."

Dr. Anderson was present at the bill-signing ceremony along with OSMA physician leadership including President-elect Warren Muth, MD and Immediate Past President James M. Sudimack, MD.

Features of the new Healthcare Simplification Law that are beneficial to physicians include:

-- A provision to ensure that physicians will know in advance what they will be paid for their services by having each insurer provide contracting physicians with a copy of their reimbursement rates

-- A ban on the selling or renting of a physician's contract to another company unless the rental is disclosed to the physician and all of the original contract terms between the physician and the insurer are honored

-- A requirement that all insurers use the same physician credentialing form and that they complete the credentialing process in 90 days

-- A prohibition against insurers using predatory clauses in their contracts with physicians which have the effect of forcing physicians to provide services at a lower rate than origi
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SOURCE Ohio State Medical Association
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