AN ACT CONCERNING RETURN OF HEALTH CARE PROVIDER PAYMENTS.

SB 341 limits when health insurance companies (contracting health organizations) can demand repayment from healthcare providers for administrative errors. It reduces the time frame for such demands from 18 to 12 months after a clean claim is submitted, with exceptions for fraud, incorrect billing, duplicate payments, or federal/state program overlap. The bill requires insurers to provide providers with 30 days' written notice detailing the demand, including the amount and basis, and establishes a 15-day deadline for insurers to rule on appeals - automatically favoring providers if they miss this deadline. Healthcare providers directly affected by payment disputes gain stronger protections against late demands and clearer appeal pathways. The law takes effect January 1, 2027.