SPRINGFIELD — State Senator Cristina Castro led a measure through the Senate that would provide enhanced regulations for vision care organizations.
“Vision care organizations limit patient choice and restrict competition when they are allowed to avoid the law,” said Castro (D-Elgin). “When accountability, compliance and transparency are put first, patients have their needs met and small providers don’t suffer in the presence of monopolies.”
Vision care organizations are third-party entities that administer vision insurance benefits, negotiate provider networks, and determine reimbursement rates and coverage policies on behalf of insurers, employers or other health plans. Over time, vision care organizations have gained control of the vision care marketplace. The two largest companies control approximately 85% of all U.S. vision coverage and are vertically integrated, meaning they administer vision plans while also owning eyewear manufacturing. This practice puts small and local eye clinics out of business, discouraging competition.
Current law regulates vision benefits and vision care plans but not vision care organizations – leading Castro to champion a measure to protect patients and the coverage they rely on.
Senate Bill 3707 would expand patient and provider protections, including providing enrollees with more freedom to choose in-network providers without influence from vision care organizations and preventing vision care organizations from retaliating against eye care providers.
“Loopholes in our vision care plans allow vision care organizations to slack off in the care of the public,” said Castro. “Eliminating those loopholes ensures parity for Illinoisans needing vision care.”
Senate Bill 3707 passed the Senate on Thursday.
