MN requires insurers, providers to file electronically

Minnesota providers and insurers will soon become the first in the United States required to file all claims electronically. A new law, which takes effect in 2009, includes all business-to-business transactions, as well as transactions between providers, insurers and the state.

The law also impacts worker's comp claims, chiropractic, dental and pharmacy claims and medical care claims filed through auto insurance plans. Insurers and providers will be required to follow a standard e-claim format developed by a consortium of payers, providers and state agencies.

The rule comes after a 2006 state study found telephone follow-up for claims and eligibility cost the state $15.5 million to $21.8 million annually.  State officials, who expect to see major cost savings through the new requirement, cite a study by America's Health Insurance Plans estimating e-claims costs at 85 cents each, while paper claims cost $1.58 each to process.

To find out more about the new rules:
- read this Minneapolis Star Tribune article

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