Date Requested:March 11, 2009
Time Requested:05:21 PM
Agency: Insurance Commission
CBD Number: Version: Bill Number: Resolution Number:
2009R1041 Introduced HB3098
CBD Subject: MILEAGE COMPENSATION FOR CLAIMANTS
FUND(S)
7152
Sources of Revenue
Special Fund
Legislation creates:
A New Fund

Fiscal Note Summary

Effect this measure will have on costs and revenues of state government.

    HB 3098, if enacted in its current form, requires the state to perform a yearly review of medical technologies, procedures and services and sets the reimbursement rates for these services at the “prevailing rates” in the area. We are unable to provide a specific estimated cost impact due to lack of available data specific to this request. To determine the most common amount paid and received for any given good or service (technology, procedure, or service) is an empirical question, and one we are not able to answer without an All-Payer Data Base which would capture all healthcare claim transactions. The cost to establish such a tool is estimated to be approximately $600,000 for start-up and $400,000 annually thereafter. Proprietary databases have been available in the past at significant costs, but those data purport to provide UCR fees (usual, customary, and reasonable fees) and their legitimacy has been brought into question.
    
    
    Additionally the bill addresses mileage reimbursement requests for claimants involving treatment provided when the responsible party requires the claimant to undergo the medical examination and has selected the physician. The current reimbursement rate for Old Fund claimants (State liabilities) is currently at the rate authorized by the travel management division of the Department of Administration. There is no fiscal impact to state government for the current proposed language regarding mileage reimbursement.

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2009
Increase/Decrease
(use"-")
2010
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 600,000 400,000
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0
3. Explanation of above estimates (including long-range effect):
    


Memorandum
Person submitting Fiscal Note:
Michael D. Riley
Email Address:
Michael.Riley@wvinsurance.gov