Blue Cross Blue Shield and PacificSource Health Plans are opposing a bill that would regulate their payment disputes with air ambulance companies, arguing the legislation would require them to raise rates, reports Bozeman Daily Chronicle.
The payers lobbied against the bill at a Senate committee hearing Tuesday. BCBS and PacificSource said the bill would set up a binding arbitration process favoring two private ambulance companies — REACH Air Medical Services and Life Flight — that the insurers say will not bargain flight prices.
The legislation proposes eliminating balance billing by removing patients from the billing process. Patients have been seated with tens of thousands of dollars from the air ambulance companies for transportation costs exceeding their insurance policy cap, according to the report.
While the insurers said they recognize a problem exists, they said Congress should address the issue by eliminating the federal law preventing states from regulating prices for flights.
Committee members voted unanimously to send a letter to Congress requesting clarification whether the federal law — the Airline Deregulation Act — pertains to air ambulance companies.