Modernizing and clarifying timely payment requirements for health carriers.

Added a 30-day waiting period where carriers cannot ask for more information after their initial request, ensuring providers aren't stuck in endless loops of documentation.

Extended the deadline for carriers to pay or deny claims to 40 days if the provider fails to submit the requested information within the initial 21-day window.

Changed the penalty for late payments from mandatory to optional, allowing regulators discretion to waive penalties if the carrier has a history of good behavior.

Added a requirement for regulators to consider a carrier's past record of violations when deciding whether to impose administrative penalties.

Extended the deadline for notifying providers about incomplete claims from 14 days to 21 calendar days and added 'calendar days' to all payment deadlines for clarity.

Requires carriers to send 'remittance advice' or an electronic notice when claims are incomplete, specifying exactly what information must be included.

Added a formal definition for 'remittance advice' to ensure carriers provide clear explanations of claim outcomes.

Clarified that interest penalties for late payments are the carrier's responsibility and cannot be applied to a patient's deductible or copayments.

Expanded the list of force majeure events to include 'cybersecurity attack' and 'declaration of a natural disaster' as valid reasons for non-compliance.

Narrowed the bill's application to exclude Medicaid managed care plans and non-participating providers.