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Healthcare Update COVID-19 March 18, 2020

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March 18, 2020
Buchalter Client Alert

Regulatory, compliance, and risk management, advice for hospitals, health systems, physician/physician groups, laboratories, and other providers. Health Care providers have all of the employment law concerns of any other business, but also have heightened workplace safety issues, because the public seeks care and treatment from them.

In addition, health care payors and providers are facing, and will continue to face, regulatory requirements related to their “front line” status. For example, both the California Department of Managed Healthcare and the Department of Insurance have issued directives to the payors under their jurisdiction that provide as follows:

  • Immediately eliminating all cost-sharing and copays for COVID-19 related treatment (applies to delegated medical providers as well as plans)
  • Coverage of all COVID-19 related treatment without need for prior authorization.
  • No surprise or balance billing for related services and treatment.
  • Waiver of prior authorization for prescription or other drugs for treatment.

Further, as reported cases increase, particularly in densely populated urban centers, providers and facilities are likely to experience substantial increases in demand and, owing to the resulting staffing costs, an uptick in expenses.

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Adam Bass, Buchalter President & CEO

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