New England Psychologist - nepsy.com Banner Ad
An Independent Voice for the State's Psychologist
Psy Jobs CE Listings Archives Contact
HomeColumnsBook ReviewsHospital DirectoryAdvertisingAbout Us

Relevant legislation anticipated
(May 2003 Issue)

By Dexter Van Zile

State legislatures across New England are gearing up for some important battles for psychologists in the next fiscal year. Lawmakers will address issues including carve-outs, parity and the right of practitioners to deal with insurance companies collectively, rather than relying on state regulators for protection.

In Rhode Island, a shrinking state budget and an unpredictable political environment could make it impossible for lawmakers to do anything other than pass a budget, says Peter Oppenheimer, Ph.D., chairperson of the Legislative Committee for the Rhode Island Psychological Association. A downsizing of House of Representatives from 100 representatives to 50 and a reduction in the number of senators from 75 to 38 could result in extensive political wrangling. "I will be pleasantly surprised if something constructive happens on our end this year," he says.

Nevertheless, Oppenheimer hopes the legislature will give psychologists an exemption from the state's anti-trust laws that make it difficult for practitioners to negotiate as a group with insurance providers regarding compensation. Allowing practitioners to create a bargaining group that would be closely watched by the attorney general would create a mechanism capable of standing up to Blue Cross of Rhode Island and United Health Care, which control 90 percent of the business in the state, Oppenheimer says. In recent years, practitioners have been forced to provide services without pay as carve-outs created by insurance companies have filed for bankruptcy. If practitioners obtained negotiating rights, they could insist companies post bonds to ensure psychologists get paid, Oppenheimer says.

"We see the anti-trust exemption as the only way we can fight back," he says.

Carve-outs are a big issue in Connecticut as well, according to Dan Abrahamson, Ph.D., director of Professional Affairs for Connecticut Psychological Association. In that state, lawmakers are considering bills that would require carve-outs to adhere to the same standards of financial solvency as the insurance companies that hire them to manage mental health services, Abrahamson says. As in Rhode Island, practitioners in Connecticut have been left in the lurch as carve-outs have filed for bankruptcy.

"Many hospitals and practitioners were not paid for six months or longer," he says. "It resulted in many practitioners and hospitals not being willing to take on new subscribers. It took a tremendous amount of effort to resolve the problem."

Legislation that would regulate carve-outs was filed last year, but blocked by the insurance industry, Abrahamson says, but he is hoping it will pass this year. "I would be surprised and flabbergasted if the legislation didn't pass," he says.

The Vermont Psychological Association (VPA) is considering asking legislators to enact "any willing provider" legislation that would require managed care companies to allow all qualified practitioners to provide services to patients in the network, says Alexandra Forbes, M.A., legislative chairperson.

A similar law was passed in Kentucky (see related story), Forbes says. She adds that VPA is still thinking about whether or not to make the proposal to lawmakers because once the law is passed, the onus would be on practitioners to sign on with managed care companies and agree to their rules and regulations.

In Maine, psychologists will be paying close attention to how the legislature addresses parity, says Sheila Comerford, executive director for the Maine Psychological Association. A bill was passed in the last legislative session, but was vetoed by then-governor Angus King.

"We have a new governor [John E. Baldacci] who says he'll sign it if it gets to his desk," Comerford says.

In New Hampshire, psychologists are considering a proposal to give psychologists the authority to prescribe medications to patients. Kirsten Singleton, executive director of the New Hampshire Psychological Association, says it's unlikely the bill will pass this year, but promises it will be introduced.

"We look at this as the first step in a long process," she says. "We'll keep working with legislators on it."

In Massachusetts, the primary battles will be over the budget, says Elena Eisman, Ph.D., executive director of the Massachusetts Psychological Association.

"The budget is horrible for Medicaid," she says. "We don't know what's going to happen. There's been a 3.3 percent decrease for all providers. It's not going to get any better."