Update on 2018 Arizona Legislative Actions

Update on 2018 Arizona Legislative Actions

The 53rd Arizona Legislature began its Second Regular Session on January 8, 2017, and within the first two weeks saw an introduction of more than 700 bills. The proposed bills covered subjects ranging from vehicle liability insurance, obtaining medical records, judgment renewal, and confidentiality agreements involving sexual assault and harassment claims. We provide a brief overview of select proposed bills which may have a notable impact in the insurance defense arena if approved.

Vehicle Liability Insurance

For the second time, a bill has been introduced to the 53rd Arizona Legislature raising the minimum limits for motor vehicle insurance policies from $15,000/$30,000 to $25,000/$50,000. If approved, the bill would go into place after June 1, 2019.

A similar bill was introduced last session, but it failed because it did not receive a hearing. This session, a new lobbying team consisting of a coalition of plaintiff’s personal injury lawyers is pushing the bill. The bill was approved by the Senate Transportation and Technology Committee. It now goes in front of the Senate Rules Committee for approval.

Medical Records

Ciox Health, through its lobbyist, requested State Representative Heather Carter to introduce a bill establishing a fee schedule for searching, retrieving, and reproducing medical and billing records to third parties. As it stands today, under A.R.S. § 12-2295, a health care provider may charge a reasonable fee for the production of requested medical and payment records. Pursuant to the proposed bill, if approved, a fee schedule would go into place as follows:

  • $1.10 per page for the first 50 pages
  • $0.80 per page for 51 to 100 pages
  • $0.60 per page for more than 101 pages
  • $300.00 for records kept and delivered in electronic format
  • $1.75 per page for microfilm and microfiche format
  • $50.00 for x-rays, files, etc., delivered by CD or DVD
  • $10.00 per image for x-rays, films, etc.
  • $30.00 for search and retrieval charge per search
  • $15.00 certification charge
  • $15.00 charge for certification no records exist

The bill has been assigned to the House Judiciary and Public Safety Committee and is awaiting a hearing.

Judgment Renewal

Under current Arizona law, a judgment expires after five years. A bill has been introduced to extend the judgment renewal deadline from five years to 10 years. The bill has the backing of the Arizona Creditors Bar Association and plaintiff’s personal injury attorneys.

Confidentiality Agreements Involving Sexual Assault and Harassment Claims

Amid a growing climate of awareness, a bill has been proposed which would make confidentiality agreements involving sexual assault and harassment claims void and unenforceable, depending on the facts. In general terms, a confidentiality agreement will be considered void and unenforceable if it restricts the disclosure of factual information which is against the state’s public safety and policy. For example, the bill prohibits an individual from entering a confidentiality agreement if the factual information is related to an allegation or attempted sexual harassment by an elected official.

A Message to Our Readers

We will continue to monitor these bills and any new bills introduced relevant to the insurance defense industry. Should you have any questions or like to discuss with us, do not hesitate to contact our office. We will be happy to speak with you.

 

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