Update to New York's patient consent and payment laws

November 6, 2024

Alert

We previously reported on a new amendment to New York state law, Section 18-c of New York Public Health Law, which would have required all healthcare providers to obtain separate consents from patients for treatment and for payment. This section would have required that the consent to pay for any healthcare services by a patient could not be given until after discussion of treatment with the patient and after the patient actually receives the services. This provision would have created many complications for healthcare providers, particularly because other federal and state laws, as well as payer requirements, mandate that patient consent to pay for non-covered health services be obtained before the services are provided.

In a letter dated October 18, 2024, The New York Department of Health explained that it has received outreach and questions from a variety of stakeholders about this provision. It stated “While the Department considers these questions, the implementation of this provision is on hold under further guidance is released.”

It is important to note that there are other consumer protections that became effective October 20, 2024 that have not been suspended. These protections include provisions addressing medical financial product applications, credit card preauthorization, and credit card risk notification. Discussion of these provisions is also found in the Department’s letter that is linked above.

For questions, contact healthcare attorney Jane Pine Wood.

Skilled nursing facilities will soon be required to significantly expand their reporting of ownership and control information on newly updated CMS-855A forms. Private equity companies and other organizations like real estate investment trusts have been named as one of the reasons that the expanded reporting for SNFs has been implemented. As such, these organizations should be aware that they may be a part of this reporting through a number of routes.

Over the past 24 months, the U.S. Department of Health and Human Services Office for Civil Rights has brought notable enforcement efforts against several non-profit covered entities and business associates, resulting in instances of six and seven-figure penalties against providers across the county for incidents involving breaches of protected health information.

On November 1, 2024, the Centers for Medicare & Medicaid Services issued the Medicare Physician Fee Schedule 2025 final rule, which establishes new advanced primary care management billing codes that will expand opportunities for physician practices, federally qualified health centers, rural health clinics and other health care providers to get paid for services provided by clinical staff under the direction of a physician, nurse practitioner or physician assistant beginning January 1, 2025.

Update to New York's patient consent and payment laws

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