As Passed by the Senate

125th General Assembly
Regular Session
2003-2004
Sub. S. B. No. 43


SENATORS Spada, Robert Gardner, Blessing, Coughlin, Schuring, Jacobson, Fingerhut, DiDonato, Wachtmann, Harris, Schuler, Dann, Armbruster, Brady, Fedor, Hagan, Mallory, Roberts, Zurz



A BILL
To enact sections 1751.111 and 3923.601 of the 1
Revised Code to require the inclusion of specified 2
pharmacy benefits information when health insurers 3
issue or require the use of standardized 4
identification cards or electronic technology for 5
submission of claims.6


BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

       Section 1. That sections 1751.111 and 3923.601 of the Revised7
Code be enacted to read as follows:8

       Sec. 1751.111. (A)(1) This section applies to every health9
insuring corporation, and to every person under contract with the 10
health insuring corporation to provide managerial or 11
administrative services, that issues or requires the use of a12
standardized identification card or an electronic technology for 13
submission and routing of prescription drug and device claims 14
pursuant to a policy, contract, or agreement for health care 15
services.16

       (2) Notwithstanding division (A)(1) of this section, this 17
section does not apply to the issuance or required use of a 18
standardized identification card or an electronic technology for 19
submission and routing of prescription drug and device claims in 20
connection with coverage provided to beneficiaries enrolled in the 21
medicare advantage program operated under Part C of Title XVIII of 22
the "Social Security Act," 49 Stat. 62 (1935), 42 U.S.C. 301, as 23
amended.24

       (3) Notwithstanding division (A)(1) of this section, this 25
section does not apply to the issuance or required use of a 26
standardized identification card or an electronic technology for 27
submission and routing of prescription drug and device claims in 28
connection with coverage provided to beneficiaries enrolled in 29
Title XIX of the "Social Security Act," 49 Stat. 620 (1935), 42 30
U.S.C.A. 301, as amended, known as the medical assistance program 31
or medicaid, by the department of job and family services under 32
Chapter 5111. of the Revised Code.33

        (B) A standardized identification card or an electronic 34
technology issued or required to be used as provided in division 35
(A) of this section shall contain uniform prescription drug and 36
device information in accordance with either division (B)(1) or 37
(2) of this section.38

        (1) The standardized identification card or the electronic 39
technology shall be in a format and contain information fields 40
approved by the national council for prescription drug programs, 41
as specified in the council's pharmacy identification card 42
implementation guide in effect on the first day of October most 43
immediately preceding the issuance or required use of the 44
standardized identification card or the electronic technology.45

        (2) If the health insuring corporation or the person under 46
contract with the corporation to provide managerial or 47
administrative services requires the information for the 48
submission and routing of a claim, the standardized identification 49
card or the electronic technology shall contain any of the50
following information:51

        (a) The health insuring corporation's name;52

        (b) The enrollee's name, group number, and identification53
number;54

        (c) A telephone number to inquire about pharmacy-related 55
issues;56

        (d) The issuer's international identification number, labeled 57
as "ANSI BIN" or "RxBIN";58

       (e) The processor's control number, labeled as "RxPCN";59

        (f) The enrollee's pharmacy benefits group number if60
different from the enrollee's medical group number, labeled as61
"RxGrp."62

        (C) If the standardized identification card or the electronic 63
technology issued or required to be used as provided in division 64
(A)(1) of this section is also used for submission and routing of 65
nonpharmacy claims, the designation "Rx" is not required to be 66
included as part of the labels identified in divisions (B)(2)(d) 67
and (e) of this section.68

        (D)(1) Except as provided in division (D)(2) of this section, 69
if there is a change in the information contained in the 70
standardized identification card or the electronic technology 71
issued to an enrollee, the health insuring corporation or person 72
under contract with the corporation to provide managerial or 73
administrative services shall issue a new card or electronic 74
technology to the enrollee.75

        (2) A health insuring corporation or person under contract 76
with the corporation is not required under division (D)(1) of this 77
section to issue a new card or electronic technology to an78
enrollee more than once during a twelve-month period.79

        (E) Nothing in this section shall be construed as requiring a 80
health insuring corporation to produce more than one standardized 81
identification card or one electronic technology for use by 82
enrollees accessing health care benefits provided under a policy, 83
contract, or agreement for health care services.84

       Sec. 3923.601. (A)(1) This section applies to every sickness85
and accident insurer, and to every person under contract with the 86
insurer to provide managerial or administrative services, that 87
issues or requires the use of a standardized identification card 88
or electronic technology for the submission and routing of 89
prescription drug and device claims pursuant to a policy of 90
sickness and accident insurance. This section also applies to 91
every pharmacy benefit manager, and to every health benefit plan92
established by this state, that issues or requires the use of a93
standardized identification card or an electronic technology for 94
the submission and routing of prescription drug and device claims.95

       (2) Notwithstanding division (A)(1) of this section, this 96
section does not apply to the issuance or required use of a97
standardized identification card or an electronic technology for 98
the submission and routing of prescription drug and device claims 99
in connection with any individual or group policy of sickness and 100
accident insurance covering only accident, credit, dental, 101
disability income, long-term care, hospital indemnity, medicare 102
supplement, medicare, tricare, specified disease, or vision care; 103
coverage under a one-time-limited-duration policy of not longer 104
than six months; coverage issued as a supplement to liability 105
insurance; insurance arising out of workers' compensation or 106
similar law; automobile medical payment insurance; or insurance 107
under which benefits are payable with or without regard to fault 108
and which is statutorily required to be contained in any liability 109
insurance policy or equivalent self-insurance.110

       (3) Notwithstanding division (A)(1) of this section, this 111
section does not apply to the issuance or required use of a 112
standardized identification card or an electronic technology for 113
the submission and routing of prescription drug and device claims 114
in connection with coverage provided to beneficiaries enrolled in 115
Title XIX of the "Social Security Act," 49 Stat. 620 (1935), 42 116
U.S.C.A. 301, as amended, known as the medical assistance program 117
or medicaid, by the department of job and family services under 118
Chapter 5111. of the Revised Code.119

       (B) A standardized identification card or an electronic120
technology issued or required to be used as provided in division 121
(A)(1) of this section shall contain uniform prescription drug and 122
device information in accordance with either division (B)(1) or 123
(2) of this section.124

        (1) The standardized identification card or the electronic 125
technology shall be in a format and contain information fields 126
approved by the national council for prescription drug programs, 127
as specified in the council's pharmacy identification card 128
implementation guide in effect on the first day of October most 129
immediately preceding the issuance or required use of the 130
standardized identification card or the electronic technology.131

        (2) If the insurer or person under contract with the insurer 132
to provide managerial or administrative services requires the 133
information for the submission and routing of a claim, the 134
standardized identification card or the electronic technology 135
shall contain any of the following information:136

        (a) The insurer's name;137

        (b) The insured's name, group number, and identification138
number;139

       (c) A telephone number to inquire about pharmacy-related 140
issues;141

        (d) The issuer's international identification number, labeled 142
as "ANSI BIN" or "RxBIN";143

        (e) The processor's control number, labeled as "RxPCN";144

        (f) The insured's pharmacy benefits group number if different 145
from the insured's medical group number, labeled as "RxGrp."146

        (C) If the standardized identification card or the electronic 147
technology issued or required to be used as provided in division 148
(A)(1) of this section is also used for submission and routing of 149
nonpharmacy claims, the designation "Rx" is not required to be 150
included as part of the labels identified in divisions (B)(2)(d) 151
and (e) of this section.152

        (D)(1) Except as provided in division (D)(2) of this section, 153
if there is a change in the information contained in the 154
standardized identification card or the electronic technology 155
issued to an insured, the insurer or person under contract with 156
the insurer to provide managerial or administrative services shall 157
issue a new card or electronic technology to the insured.158

        (2) An insurer or person under contract with the insurer is 159
not required under division (D)(1) of this section to issue a new 160
card or electronic technology to an insured more than once during 161
a twelve-month period.162

        (E) Nothing in this section shall be construed as requiring 163
an insurer to produce more than one standardized identification 164
card or one electronic technology for use by insureds accessing 165
health care benefits provided under a policy of sickness and 166
accident insurance or a health benefit plan.167

       Section 2. Section 1 of this act shall take effect one year168
after the effective date of this act.169

       Section 3. (A) Section 1751.111 of the Revised Code, as 170
enacted by this act, shall apply only with respect to policies, 171
contracts, and agreements delivered, issued for delivery, or 172
renewed in this state on or after the effective date of Section 1 173
of this act.174

        (B) Section 3923.601 of the Revised Code, as enacted by this 175
act, shall apply only with respect to the following:176

        (1) Policies of sickness and accident insurance delivered, 177
issued for delivery, renewed, or used in this state on or after 178
the effective date of Section 1 of this act;179

       (2) Health benefit plans, other than Medicaid, established or 180
modified by this state on or after the effective date of Section 1 181
of this act.182