October 9th, 2019

New England’s last holdout to limit clawbacks finally passes law

By Janine Weisman

Health insurance companies now have a 12-month window to retroactively deny claims they already paid for mental health and substance abuse services in Massachusetts. Language imposing the time restriction on so-called clawbacks was included in the final fiscal 2020 state budget signed into law by Gov. Charlie Baker on July 31. The budget incorporated language from bills in the Senate and House of Representatives that sought to end what mental health providers have long considered an unfair business practice. No time limit for clawbacks previously existed in Massachusetts, while other New England states had laws requiring health plans to initiate [More]