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HF 2749

1st Engrossment - 87th Legislature (2011 - 2012) Posted on 03/21/2012 05:34pm

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 1st Engrossment

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A bill for an act
relating to commerce; regulating auto insurance claims practices; providing for
the evaluation of health care provided under the no-fault automobile insurance
system; amending Minnesota Statutes 2010, sections 65B.54, subdivision 6;
609.612, subdivision 1.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2010, section 65B.54, subdivision 6, is amended to read:


Subd. 6.

Unethical practices.

(a) A licensed health care provider shall not initiate
direct contact, in person, over the telephone, or by other electronic means, with any person
who has suffered an injury arising out of the maintenance or use of an automobile, for the
purpose of influencing that person to receive treatment or to purchase any good or item
from the licensee or anyone associated with the licensee. This subdivision prohibits such
direct contact whether initiated by the licensee individually or on behalf of the licensee by
any employee, independent contractor, agent, or third partynew text begin , including a capper, runner, or
steerer, as defined in section 609.612, subdivision 1, paragraph (c)
new text end . This subdivision does
not apply when an injured person voluntarily initiates new text begin direct new text end contact with a licensee.

(b) This subdivision does not prohibit licenseesdeleted text begin , or persons acting on their behalf,deleted text end
from mailing advertising literature directly to such persons, so long as:

(1) the word "ADVERTISEMENT" appears clearly and conspicuously at the
beginning of the written materials;

(2) the name of the individual licensee appears clearly and conspicuously within
the written materials;

(3) the licensee is clearly identified as a licensed health care provider within the
written materials; and

(4) the licensee does not initiate, individually or through any employee, independent
contractor, agent, or third party, direct contact with the person after the written materials
are sent.

(c) This subdivision does not apply to:

(1) advertising that does not involve direct contact with specific prospective patients,
in public media such as telephone directories, professional directories, ads in newspapers
and other periodicals, radio or television ads, Web sites, billboards, or similar media;

(2) general marketing practices such as giving lectures; participating in special
events, trade shows, or meetings of organizations; or making presentations relative to the
benefits of deleted text begin chiropracticdeleted text end new text begin a specific medicalnew text end treatment;

(3) contact with friends or relatives, or statements made in a social setting;

(4) direct contact initiated by an ambulance service licensed under chapter 144E, a
medical response unit registered under section 144E.275, or by the emergency department
of a hospital licensed under chapter 144, for the purpose of rendering emergency care; or

(5) a situation in which the injured person:

(i) had a prior professional relationship with the licensee;

(ii) has selected that licensee as the licensee from whom the injured person receives
health care; or

(iii) has received treatment related to the accident from the licensee.

(d) new text begin Any solicitations or advertisements for medical treatment of an injury arising
out of the maintenance or use of an automobile shall only be undertaken by a Minnesota
licensed health care provider using the licensee's own legal name and the legal name of
the licensee's clinic. The advertisement or solicitation shall not include an assumed or
fictitious name for the licensee or clinic. The licensee's legal name or the legal name of
the licensee's clinic must be prominently displayed or referenced in the solicitation or
advertisement. The legal name of a provider's clinic shall accurately describe the nature of
its practice and shall not include a telephone number, Internet address, or other misleading
description of the provider.
new text end

new text begin (e) new text end A violation of this subdivision is grounds for the licensing authority to take
disciplinary action against the licensee, including revocation in appropriate cases.new text begin In
addition, charges for any services provided by a health care provider in violation of this
subdivision are not compensable and not enforceable as a matter of law. In any action
challenging whether such charges are in violation of this subdivision, a reparation obligor
may initiate or remove such an action directly to district court.
new text end

Sec. 2.

Minnesota Statutes 2010, section 609.612, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) As used in this section, the following terms have
the meanings given.

(b) "Public media" means telephone directories, professional directories, newspapers
and other periodicals, radio and television, billboards, and mailed or electronically
transmitted written communications that do not involve in-person contact with a specific
prospective patient or client.

(c) "Runner," "capper," or "steerer" means a person who for a pecuniary
gain procures deleted text begin patients or clientsdeleted text end new text begin or solicits prospective patients through telephonic
communication, written communication, or in-person contact
new text end at the direction of, or in
cooperation with, a health care provider when the person knows or has reason to know that
the provider's purpose is to deleted text begin fraudulentlydeleted text end perform or obtain services or benefits under or
relating to a contract of motor vehicle insurance. The term new text begin runner, capper, or steerer new text end does
not include a deleted text begin persondeleted text end new text begin licensed health care providernew text end who new text begin directly new text end procures clients through
public medianew text begin only using its own legal namenew text end .

Sec. 3. new text begin WORK GROUP; EVALUATION OF HEALTH CARE PROVIDED
UNDER THE STATE'S NO-FAULT AUTOMOBILE INSURANCE SYSTEM.
new text end

new text begin The chairs of the house Commerce and Regulatory Reform Committee and the
senate Commerce and Consumer Protection Committee shall convene a work group to
study and compare the delivery of health care services under the no-fault automobile
systems established in other no-fault states to evaluate whether Minnesota law satisfies the
objectives of Minnesota Statutes, section 65B.42, including examining medical treatment
parameters or standards, dispute resolution mechanisms, medical fee schedules, and
independent medical examinations. The work group shall report back to the committee
chairs by October 15, 2012.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end