A 9225: Provides that it is unlawful for any person to directly or indirectly own, operate, or control the whole or any part of a health insurance company and a health care provider; requires divestment within three years; prohibits health insurance companies and health care providers found in violation of such provisions from receiving payment from certain state programs.

  
  STATE OF NEW YORK ________________________________________________________________________ 9225 2025-2026 Regular Sessions  IN ASSEMBLY November 3, 2025 ___________ Introduced by M. of A. JACOBSON -- read once and referred to the Commit- tee on Judiciary AN ACT to amend the general obligations law, in relation to health insurance and provider divestment The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The general obligations law is amended by adding a new 2 section 5-339 to read as follows: 3 § 5-339. Prohibition on overlapping ownership of health insurance 4 companies and health care providers. 1. As used in this section: 5 (a) "Health insurance company" means an insurance company subject to 6 article forty-two or a corporation subject to article forty-three of the 7 insurance law, or a health maintenance organization certified pursuant 8 to article forty-four of the public health law that contracts or offers 9 to contract to provide, deliver, arrange, pay or reimburse any of the 10 costs of health care services. 11 (b) "Health care provider" means an entity licensed or certified 12 pursuant to article twenty-eight, thirty-six or forty of the public 13 health law, a facility licensed pursuant to article nineteen or thirty- 14 one of the mental hygiene law, a fiscal intermediary operating under 15 section three hundred sixty-five of the social services law, a health 16 care professional licensed, registered or certified pursuant to title 17 eight of the education law, a dispenser or provider of pharmaceutical 18 products, services or durable medical equipment, or a representative 19 designed by such entity or person. 20 (c) "Indirect control" means any agreement, arrangement, contract, 21 ownership stake, or other relationship that gives an owner or operator 22 of a health insurance company the ability to influence or direct the 23 operations of any health care provider in the state or means any agree- 24 ment, arrangement, contract, ownership stake, or other relationship that EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD13902-02-5 
 A. 9225 2 1 gives an owner or operator of a health care provider the ability to 2 influence or direct the operations of any health insurance company. 3 2. (a) It shall be unlawful for any person to directly or indirectly 4 own, operate, or control the whole or any part of a health insurance 5 company and a health care provider or any combination thereof. 6 (b) It shall be unlawful for any person to directly or indirectly own, 7 operate, or control the whole or any part of a health care provider and 8 a health insurance company or any combination thereof. 9 3. Not later than three years after the effective date of this 10 section, any person in violation of subdivision one of this section 11 shall divest from such health insurance company and health care provid- 12 er. 13 4. The attorney general may bring a civil action against any person or 14 entity that violates this section and may recover the following: 15 (a) a civil penalty of ten thousand dollars per day for a violation of 16 this section; and 17 (b) costs and reasonable attorneys' fees. 18 § 2. This act shall take effect immediately.