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2016 SESSION
Be it enacted by the General Assembly of Virginia:
1. That § 38.2-3407.17 of the Code of Virginia is amended and reenacted as follows:
§ 38.2-3407.17. Payment for services by dentists and oral surgeons.
A. As used in this section:
"Covered services" means the health care services for which benefits under a policy, contract, or evidence of coverage are payable by a dental plan, including services paid by the insureds, subscribers, or enrollees because the annual or periodic payment maximum established by the dental plan has been met.
"Dental plan" includes (i) an insurer proposing to issue individual or group accident and sickness insurance policies providing hospital, medical, and surgical or major medical coverage on an expense-incurred basis, (ii) an entity providing individual or group accident and sickness subscription contracts, (iii) a dental services plan offering or administering prepaid dental services, (iv) a health maintenance organization providing a health care plan, and (v) a dental plan organization.
B. No contract between a dental plan and a dentist or oral surgeon may establish the fee or rate that the dentist or oral surgeon is required to accept for the provision of health care services, or require that a dentist or oral surgeon accept the reimbursement paid as payment in full, unless the services are covered services under the applicable dental plan.
C. A reimbursement payable or paid by a dental plan for covered services shall be reasonable and not provide nominal reimbursement in order to claim that services are covered services under the applicable dental plan. For purposes of this subsection, "reasonable" means the negotiated fee, rate, or reimbursement methodology that is set forth in the contract between a dental plan and a dentist or oral surgeon and is acceptable to the provider.
D. This section, except subsection C, shall
apply with respect to any contract between a dental plan and a dentist
or oral surgeon for the provision of health care to patients that is entered
into, amended, extended, or renewed on or after July 1, 2010. The provisions
of subsection C shall apply to any contract between a dental plan and a dentist
or oral surgeon for the provision of health care to patients that is entered
into, amended, extended, or renewed on or after January 1, 2017.
D. E. The Commission shall have no jurisdiction
to adjudicate individual controversies arising out of this section.
2. That the provisions of this act shall become effective on January 1, 2017.