New Jersey § 52:14-17

§ 52:14-17.

a. The commission shall negotiate with and arrange for the purchase, on such terms

as it deems to be in the best interests of the State and its employees, from carriers

licensed to operate in the State or in other jurisdictions, as appropriate, contracts

providing hospital, surgical, obstetrical, and other covered health care services

and benefits covering employees of the State and their dependents, and shall execute

all documents pertaining thereto for and on behalf and in the name of the State. b. Except for contracts entered into after June 30, 2007, the commission shall not

enter into a contract under this act unless the benefits provided thereunder equal

or exceed the minimum standards specified in section 5 of P.L.1961, c. 49 ( C.52:14-17.29 ) for the particular coverage which such contract provides, and unless coverage is

available to all eligible employees and their dependents on the basis specified by

section 7 of P.L.1961, c. 49 ( C.52:14-17.31 ), except that a State employee enrolled in the program on or after July 1, 2003 and

all law enforcement officers employed by the State for whom there is a majority representative

for collective negotiations purposes may not be eligible for coverage under the traditional

plan as defined in section 2 of P.L.1961, c. 49 ( C.52:14-17.26 ) pursuant to a binding collective negotiations agreement or pursuant to the application

by the commission, in its sole discretion, of the terms of any collective negotiations

agreement binding on the State to State employees for whom there is no majority representative

for collective negotiations purposes. c. The commission shall not enter into a contract under P.L.1961, c. 49 ( C.52:14-17.25 et seq. ) after June 30, 2007, unless the contract includes the successor plan, one or more

health maintenance organization plans and a State managed care plan that shall be

substantially equivalent to the NJ PLUS plan in effect on June 30, 2007, with adjustments

to that plan pursuant to a binding collective negotiations agreement or pursuant to

action by the commission, in its sole discretion, to apply such adjustments to State

employees for whom there is no majority representative for collective negotiations

purposes, and unless coverage is available to all eligible employees and their dependents

on the basis specified by section 7 of P.L.1961, c. 49 ( C.52:14-17.31 ), except as provided in subsection d. of this section. d. Eligibility for coverage under the successor plan may be limited pursuant to a

binding collective negotiations agreement or pursuant to the application by the commission,

in its sole discretion, of the terms of any collective negotiations agreement binding

on the State to State employees for whom there is no majority representative for collective

negotiations purposes. Coverage under the successor plan and under the State managed care plan required

to be included in a contract entered into pursuant to subsection c. of this section

shall be made available in retirement to all State employees who accrued 25 years

of nonconcurrent service credit in one or more State or locally-administered retirement

systems before July 1, 2007. Coverage under the State managed care plan required to be included in a contract

entered into pursuant to subsection c. of this section shall be made available in

retirement to all State employees who accrue 25 years of nonconcurrent service credit

in one or more State or locally-administered retirement systems on or after July 1,

2007. e. Actions taken by the commission before the effective date of P.L.2007, c. 103 in anticipation of entering into any contract pursuant to subsection c. of this section

are hereby deemed to have been within the authority of the commission pursuant to

P.L.1961, c. 49 ( C.52:14-17.25 et seq. ). f. Any carrier with which the commission contracts for the provision of hospital,

surgical, obstetrical, and other covered health care services and benefits pursuant

to this section shall provide to the third-party medical claims reviewer, procured

pursuant to section 2 of P.L.2019, c. 143 ( C.52:14-17.30b ), information in that carrier's provider network contracts, such as claims information

and contractual discounts provided thereunder, that are applicable to a health benefits

plan offered under the State Health Benefits Program. Documents, materials and other information in the possession or control of the State,

or the third-party medical claims reviewer, that are obtained or created by, or disclosed

to, the State or any other person pursuant to this subsection shall be recognized

by this State as being proprietary and containing trade secrets. All such documents, materials or other information shall be confidential by law

and privileged, and shall not be subject to P.L.1963, c. 71 ( C.47:1A-1 et seq. ); except that the State is authorized to use the documents, materials or other information

in the furtherance of any regulatory or legal action brought as a part of the commission's

or third-party medical claims reviewer's official duties. The State and the third-party medical claims reviewer shall not disclose, sell,

or transfer the documents, materials or other information without the prior written

consent of the carrier. This subsection shall not be construed as pertaining to medical claims data. g. A contract entered into with a carrier pursuant to this section shall include therein

the State's existing right to withhold payment for administrative services or to pursue

any other remedy deemed appropriate by the State Treasurer if the carrier is found

by the State upon information provided by the third-party medical claims reviewer

to have committed errors resulting in a loss to the State in a quantity or value,

or both, beyond a certain threshold, as shall be provided in the contract or by rules

promulgated by the State Treasurer. The contract shall permit the State to recover any loss resulting from errors identified

by the third-party medical claims reviewer. h. Information provided to or obtained by the third-party medical claims reviewer

shall be delivered, received, maintained, and reviewed in a manner and shall contain

only material consistent with the “Health Insurance Portability and Accountability

Act of 1996,” Pub.L.104-191. To the extent necessary in accordance therewith, a carrier shall ensure that information

provided to the medical claims reviewer is attendant to only persons who are participants

in the State Health Benefits Program.