Lawmakers send package of health insurance reforms to Gov. J.B. Pritzker’s desk [Chicago Tribune] - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
May 25, 2024 Newswires
Share
Share
Post
Email

Lawmakers send package of health insurance reforms to Gov. J.B. Pritzker’s desk [Chicago Tribune]

Chicago Tribune (IL)

SPRINGFIELD – Health care initiatives pushed by Gov. J.B. Pritzker were passed by the Illinois House Saturday, paving the way for a prohibition on controversial insurance industry practices such as a requirement that patients try treatments that differ from those prescribed by their physicians.

The passage of the legislation, which followed earlier approvals by the state Senate, marks a victory for Pritzker, who in his February budget address vowed to expend political capital to go after insurance practices he criticized as “predatory.” He subsequently toured the state to promote the legislation.

“Today, we celebrate a win for Illinois families and healthcare providers everywhere. We’re saving lives and making the path to care easier for all,” the governor said in a statement Saturday.

After a series of tweaks to the bills, the insurance industry dropped its opposition to legislation on most of the governor’s initiatives, except for a ban on certain short term, high cost insurance plans.

One of the key provisions in the legislation passed by lawmakers would put prohibitions on what is known as step therapy, in which insurers require patients to try a different, often cheaper, alternative before treatment recommended by doctors. The practice has been decried by doctors and patients who say it can delay necessary care, allowing patients’ condition to worsen; the insurance industry has framed it as a cost-saving measure.

In the version that passed in both chambers, the step therapy provisions for prescription drugs apply to medications already covered within insurance plans, Laura Minzer, president of the Illinois Life and Health Insurance Council, said Saturday.

For example, if a doctor wanted a patient to try Ozempic, it could be immediately prescribed if it was already on the list of medications covered by the patient’s insurance.

If Ozempic wasn’t on that list, there would still be an additional process to try to get an exemption, such as for cases where the patient had been on a particular medication successfully for a long time. That process keeps costs down, Minzer said.

The step therapy provision, along with many of the others in the bill, goes into effect in 2026.

The legislation would end up costing $35 million to the state insurance plan and $30 million to Medicaid, according to Democratic Rep. Anna Moeller of Elgin, the bill’s lead sponsor.

Moeller has previously said many of the reforms will lead to long-term cost savings, as well as greater access to care.

The legislation containing the step therapy ban passed 83-23-1 in the House and 45-14 in the Senate, with bipartisan support.

Another one of Pritzker’s initiatives — originally passed as a package with the other provisions but put into a separate bill for the final votes — would ban short-term insurance plans that may be financially risky to consumers. Known as short-term limited duration plans, they offer coverage for a short period but may result in exorbitant costs for treatment. Pritzker has called them “junk plans.”

The plans are “giving people, who are more often than not between jobs, a false sense of security when in fact they are flying without a parachute,” Democratic Rep. Bob Morgan of Deerfield said on the House floor Saturday.

The Illinois Life and Health Insurance Council, which represents some companies that sell the short term plans banned by the legislation, opposed the ban, and the vote for its passage in the House was 72-35, nearly split along partisan lines.

“These plans are not junk plans. There are some that are bare bones. The vast majority of these that are sold are with good and decent limitations that provide value to our Illinois citizens,” Republican Rep. Jeff Keicher of Sycamore said.

The plans can be cheaper than the temporary insurance extension option known as COBRA, he said.

The bill passed Saturday that bans step therapy also would prohibit prior authorization, when patients have to get permission from insurance companies before receiving treatment, for in-patient mental health care.

Other provisions, such as stricter standards for updating directories and posting lists of covered drugs, are intended to improve transparency. The legislation also aimed to address price increases for large group insurance.

“For far too long, insurance companies, not doctors, have determined what treatment options patients should have, and how quickly they can receive it,” Pritzker said in one of several press conferences promoting the legislation in recent weeks. “This bill puts power back in the hands of patients and their doctors.”

©2024 Chicago Tribune. Visit chicagotribune.com. Distributed by Tribune Content Agency, LLC.

Older

Lawmakers send package of health insurance reforms to Gov. J.B. Pritzker’s desk [Chicago Tribune]

Newer

Bragar Eagel & Squire, P.C. Reminds Investors That Class Action Lawsuits Have Been Filed Against GoodRx, Exscientia, Malibu Boats, and Globe Life and Encourages Investors to Contact the Firm

Advisor News

  • IRS CEO FRANK J. BISIGNANO VISITS OHIO TO TOUT WORKING FAMILIES TAX CUTS PROVISIONS ON NO TAX ON CAR LOAN INTEREST, NO TAX ON OVERTIME, ENHANCED DEDUCTION FOR SENIOR CITIZENS
  • The hidden flaw in insurance AI adoption for advisors and carriers
  • Rising healthcare costs impact 401(k) accounts
  • What advisors think about pooled employer plans, alternative investments
  • AI, stablecoins and private market expansion may reshape financial services by 2030
More Advisor News

Annuity News

  • MetLife Inc. (NYSE: MET) Climbs to New 52-Week High
  • The Standard and Pacific Guardian Life Announce Entry into Agreement to Transition Individual Annuities Business
  • AuguStar Retirement launches StarStream Variable Annuity
  • Prismic Life Announces Completion of Oversubscribed Capital Raise
  • Guaranteed income streams help preserve assets later in retirement
More Annuity News

Health/Employee Benefits News

  • Reed: Can these assets be saved?
  • PacificSource to end Montana operations
  • PacificSource to end Montana insurance operations
  • Reduced health insurance payments for hospital births had a bigger impact on sterilization rates than correcting an injustice
  • Ashley Mann:
More Health/Employee Benefits News

Life Insurance News

  • Kansas official running for governor received $300K in donations before key decision
  • Investigators say C.R. man's life insurance claims for 3 children were fraudulent
  • Shocking death of Kyle Busch renews debate over IUL plan
  • WoodmenLife launches final expense life insurance offering
  • The Standard and Pacific Guardian Life Announce Entry into Agreement to Transition Individual Annuities Business
More Life Insurance News

- Presented By -

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Why Blend in When You Can Make a Splash?
Pacific Life’s registered index-linked annuity offers what many love about RILAs—plus more!

Life moves fast. Your BGA should, too.
Stay ahead with Modern Life's AI-powered tech and expert support.

Bring a Real FIA Case. Leave Ready to Close.
A practical working session for agents who want a clearer, repeatable sales process.

Discipline Over Headline Rates
Discover a disciplined strategy built for consistency, transparency, and long-term value.

You Could Be Losing Up to 20% of Your Commissions
GreenWave helps you find, fix, and prevent commission errors.

Press Releases

  • JP Insurance Group Launches Commercial Property & Casualty Division; Appoints Joe Webster as Managing Director
  • Sequent Planning Recognized on USA TODAY’s Best Financial Advisory Firms 2026 List
  • Highland Capital Brokerage Acquires Premier Financial, Inc.
  • ePIC Services Company Joins wealth.com on Featured Panel at PEAK Brokerage Services’ SPARK! Event, Signaling a Shift in How Advisors Deliver Estate and Legacy Planning
  • Hexure Offers Real-Time Case Status Visibility and Enhanced Post-Issue Servicing in FireLight Through Expanded DTCC Partnership
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet