New California Law Changes Rules For Third-Party Dialysis Payment Assistance

A new California law limits the private insurance reimbursement rate dialysis companies receive for consumers who receive financial assistance from financially interested entities. Starting in 2022, the law limits the rate for dialysis services to these consumers to the Medicare rate or a rate determined through an independent dispute resolution process. The law, California Assembly Bill (AB) 290: Health Care Service Plans & Health Insurance: Third-Party Payments, was signed on October 14, 2019.

The law, AB 290, affects financially interested charitable organizations or “consumer assistance programs” that provide grants to individuals with kidney disease to cover the costs (premiums . . .