CPAN announces its support of House Bill 4992, which will protect access to care for accident victims and consumers

CPAN announces its support of House Bill 4992, which will protect access to care for accident victims and consumers

Bill would eliminate the devastating 45% cap on reimbursements for specialized rehabilitation care

LANSING, Mich.—(June 11, 2021)— CPAN today announced its support of House Bill 4992, which would protect Michigan accident victims and consumers by ensuring that ethical providers can stay in business and continue providing key services. The bill was introduced yesterday by State Representative Ryan Berman (R-Commerce Township).

“CPAN has always said that we were open to any approach that would protect access to care for current and future accident victims,” said Devin Hutchings, CPAN President. “Without a fix, survivors who have been receiving life-saving care for years will soon have that care ripped away from them. These are survivors who paid their auto insurance premiums year in and year out with the promise that their care would be covered in the event of a life-altering accident. Disrupting their care would be devastating for the progress they have made. We can’t let that happen.” 

HB 4992 would eliminate the devastating 45% cap on reimbursements for specialized rehabilitation services, a provision of auto insurance reform that would put most providers out of business. A recent survey of 71 health care providers across Michigan unequivocally shows that Michigan is headed toward a severe reduction in services for current and future victims of severe and catastrophic auto accidents—fully 90% of those surveyed said they will have to reduce services, and 0% believe they will be able to expand services.

HB 4992 would create an annual market survey of services to determine the amounts charged by providers for treatment and rehabilitation. Providers could not be reimbursed more than the average price of the three most recent market surveys for the area within 50 miles of the provider’s location.

“We are grateful to Rep. Berman for introducing a bill that offers a narrow, technical fix that will protect access to care and allow ethical providers to stay open,” Hutchings said. “It doesn’t change the entire no-fault law and maintains the cost-saving provisions passed as part of auto insurance reform. It’s time for our state’s leaders to show they care about accident victims and pass this bill.”