States may have more freedom to regulate the practices of managed-careorganizations than many observers previously believed. In theabsence of congressional action on the federal Bipartisan PatientProtection Act,1 the primary source of patient-protection legislationremains at the state level. Nevertheless, the federal EmployeeRetirement Income Security Act (ERISA) of 19742 restricts stateregulation of health maintenance organizations (HMOs) that serveprivate employee group health plans. On June 20, 2002, the U.S.Supreme Court, in Rush Prudential HMO, Inc. v. Moran, upheldan Illinois state law that requires binding independent externalreview when an HMO disagrees with the decision . . . [Full Text of this Article]
State Regulation and ERISA
Moran's Dispute with Rush Prudential
The Supreme Court Decision
Implications of the Decision
Conclusions
Source Information
From the Health Law Department, Boston University School of Public Health, Boston.
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