436-015-0030 Applying for Certification (1) General. The MCO must establish one place of business in Oregon where it administers the plan and keeps membership and other records as required by OAR 436-015-0050. (2) An applicant for MCO certification must submit the following to the director: (a) One copy of the application; (b) A nonrefundable fee of $1,500, payable to the Department of Consumer and Business Services, which will be deposited in the Consumer and Business Services Fund; (c) Affidavits of each person identified in section (3) of this rule, certifying that the individuals have no interest in a non-qualifying employer under OAR 436-015-0009; (d) An affidavit of an authorized officer or agent of the MCO, certifying that the MCO is financially sound and able to meet all requirements necessary to ensure delivery of services under the plan, and in full satisfaction of the MCO’s obligations under ORS 656.260 and OAR 436-015; and (e) A complete organizational chart. (3) MCO Application. The application must include: (a) The name of the MCO; (b) The name of each person who will be a director of the MCO; (c) The name of the person who will be the president of the MCO; (d) The title and name of the person who will be the day-to-day administrator of the MCO; (e) The title and name of the person who will be the administrator of the financial affairs of the MCO; and (f) A proposed plan for the MCO, in which the applicant identifies how the MCO will meet the requirements of ORS 656.260 and these rules. (4) MCO Plan - General. The plan must: (a) Identify the initial GSAs in which the MCO intends to operate (For details regarding GSAs, see http://wcd.oregon.gov/Bulletins/bul_248.pdf); (b) Describe the reimbursement procedures for all services provided; (c) Include a process for developing financial incentives directed toward reducing service costs and utilization, without sacrificing quality of service; (d) Describe how the MCO will provide insurers with information that will inform workers of all choices of medical service providers and how workers can access those providers; (e) Provide a procedure to identify those providers in the panel provider listings that only accept existing patients as workers’ compensation patients. This procedure is not subject to the timeframe established in subsection (f) of this section; (f) Provide a procedure for regular, periodic updating of all MCO panel provider listings, with published updates being available electronically no less frequently than every 30 days; and (g) Include a procedure for timely and accurate reporting to the director of necessary information regarding medical and health care service costs and utilization under OAR 436-015-0040 and OAR 436-009. (5) MCO Plan – Worker Rights. The plan must provide a description of the times, places, and manner of providing services adequate to ensure that workers governed by the MCO will be able to: (a) Access an MCO panel with a minimum of one attending physician within the MCO for every 1,000 workers covered by the plan; (b) Receive initial treatment by an MCO attending physician or authorized nurse practitioner of the worker’s choice within 24 hours of the MCO’s knowledge of the need or a request for treatment; (c) Receive treatment by an MCO attending physician or authorized nurse practitioner of the worker’s choice within five working days after the worker received treatment outside the MCO; (d) Receive information on a 24-hour basis regarding medical services available within the MCO which must include: (A) The worker’s right to receive emergency or urgent care, and (B) The MCO’s regular hours of operation if the worker needs assistance selecting an attending physician or has other questions. (e) Access medical providers, including attending physicians, within a reasonable distance from the worker’s place of employment, considering the normal patterns of travel. For purposes of this rule, 30 miles (one way) in urban areas and 60 miles (one way) in rural areas will be considered a reasonable distance; (f) Receive treatment by a non-MCO medical service provider when the enrolled worker resides outside the MCO’s geographic service area. Such a worker may only select non-MCO providers if they practice closer to the worker’s residence than an MCO provider of the same category, and if the provider agrees to the MCO’s terms and conditions; (g) Receive services that meet quality, continuity, and other treatment standards which will provide all medical and health care services in a manner that is timely, effective, and convenient for the worker; (h) Receive specialized medical services the MCO is not able to provide; (i) Receive treatment that is consistent with MCO treatment standards and protocols; and (j) Remain eligible to receive authorized temporary disability benefits up to 14 days after the mailing date of a notice enrolling the worker’s claim in an MCO under OAR 436-010-0270(4)(d). (6) MCO Plan – Choice of Provider. The plan must provide all of the following: (a) An adequate number, but not less than three, of medical service providers from each provider category. For purposes of these rules, the categories include acupuncturist, chiropractic physician, dentist, naturopathic physician, optometric physician, osteopathic physician, medical physician, and podiatric physician. The worker also must be able to choose from at least three physical therapists and three psychologists. The plan must meet this section’s requirements unless the MCO establishes that there is not an adequate number of providers in a given category able or willing to become members of the MCO. For categories where the MCO has fewer than three providers within a GSA or the MCO, within 14 days, is unable to provide a list of three providers willing to treat a worker within a reasonable period of time, the MCO must allow the worker to seek treatment outside the MCO from a provider in each of those categories, consistent with the MCO's treatment and utilization standards. Such providers cannot be required to comply with the terms and conditions regarding services performed by the MCO. These providers are not bound by the MCO's treatment and utilization standards, however, workers are subject to those standards. (b) A process that allows workers to select an authorized nurse practitioner. If the MCO has fewer than three authorized nurse practitioners within a GSA or the MCO, within 14 days, is unable to provide a list of three authorized nurse practitioners willing to treat a worker within a reasonable period of time, the MCO must allow the worker to seek treatment outside the MCO from an authorized nurse practitioner, consistent with the MCO’s treatment and utilization standards and ORS 656.245(2)(b)(D). Such authorized nurse practitioners cannot be required to comply with the terms and conditions regarding services performed by the MCO. These authorized nurse practitioners are not bound by the MCO's treatment and utilization standards, however, workers are subject to those standards. (c) A process that allows workers to select a physician associate. If the MCO has fewer than three physician associates within a GSA or the MCO, within 14 days, is unable to provide a list of three physician associates willing to treat a worker within a reasonable period of time, the MCO must allow the worker to seek treatment outside the MCO from a physician associate, consistent with the MCO’s treatment and utilization standards and ORS 656.245(2)(b)(D). Such physician associates cannot be required to comply with the terms and conditions regarding services performed by the MCO. These physician associates are not bound by the MCO's treatment and utilization standards, however, workers are subject to those standards. (d) A procedure that allows workers to receive compensable medical treatment from a come-along provider authorized under OAR 436-015-0070. (7) MCO Plan – Provider Agreement. The plan must include: (a) A copy of the standard provider agreement used by the MCO when a provider is credentialed as a panel provider. Variations from the standard provider agreement must be identified when the plan is submitted for director approval; and (b) An initial list of the names, addresses, and specialties of the individuals who will provide services within the MCO. This list must indicate which medical service providers will act as attending physicians in each GSA. (8) MCO Plan – Monitoring and Reviewing. The plan must provide adequate methods for monitoring and reviewing contract matters between providers and the MCO to ensure appropriate treatment and to prevent inappropriate or excessive treatment including: (a) A program of peer review and utilization review including the following: (A) Pre-admission review of elective admissions to the hospital and elective surgeries; (B) Individual case management programs, which identify ways to provide appropriate care at a lower cost for cases that are likely to prove very costly; (C) Physician profile analysis which may include such information as each physician’s total charges, number and costs of related services provided, workers’ temporary disability, and total number of visits in relation to care provided by other physicians to patients with the same diagnosis. A physician’s profile must not be released to anyone outside the MCO without the physician’s specific written consent, except that the physician’s profile must be released to the director without the necessity of obtaining such consent; (D) Concurrent review programs that periodically review the care after treatment has begun, to determine if continued care is medically necessary; (E) Retrospective review programs that examine care after treatment has ended, to determine if the treatment rendered was excessive or inappropriate; and (F) Second surgical opinion programs that allow workers to obtain the opinion of a second physician when elective surgery is recommended. (b) A quality assurance program that includes: (A) A system for monitoring and resolving problems or complaints, including those identified by workers or medical service providers; (B) Physician peer review, which must be conducted by a group designated by the MCO or the director. The group must include members of the same healing art as the peer-reviewed physician; and (C) A standardized medical record system. (c) A program that specifies the criteria for selection and termination of panel providers and the process for peer review. The processes for terminating a panel provider and peer review must provide adequate notice and hearing rights. (d) A program that meets the requirements of ORS 656.260(4) for monitoring and reviewing other contract matters not covered under peer review, service utilization review, dispute resolution, or quality assurance. (9) MCO Plan – Dispute Resolution. The plan must include: (a) A procedure for internal dispute resolution to resolve complaints by enrolled workers, medical providers, and insurers under OAR 436-015-0110. The internal dispute resolution procedure must include a provision allowing waiver of the 30-day period to appeal a decision to the MCO upon a showing of good cause; and (b) A description of how the MCO will ensure workers continue to receive appropriate care in a timely, effective, and convenient manner throughout the dispute resolution process. (10) MCO Plan – Treatment Standards, Protocols, and Guidelines. The plan must include a summary of the process the MCO uses to develop and review treatment standards, protocols, and guidelines. This summary must describe: (a) The medical expertise or specialties of the clinicians involved; (b) The basis for protocols and guidelines; (c) The criteria the MCO uses in selecting the conditions for which the MCO implements treatment protocols and guidelines; (d) The criteria the MCO uses to determine when it needs to review or revise its treatment standards, protocols, and guidelines; (e) How the MCO makes the standards, protocols, and guidelines available to its panel providers and how it notifies them of any changes; and (f) A process that provides sufficient flexibility to allow treatment outside the standards, protocols, and guidelines if such treatment is supported by persuasive professional medical judgment and reasoning. (11) MCO Plan – Return to Work and Workplace Safety. The plan must provide other programs that meet the requirements of ORS 656.260(4), including: (a) A program involving cooperative efforts by the workers, the employer, the insurer, and the MCO to promote early return to work for enrolled workers; and (b) A program involving cooperative efforts by the workers, the employer, and the MCO to promote workplace safety and health consultative and other services. The program must: (A) Identify how the MCO will promote such services; (B) Describe the method by which the MCO will report to the insurer within 30 days of knowledge of occupational injuries and illnesses involving serious physical harm as defined by OAR 437-001, occupational injury and illness trends as observed by the MCO, and any observations that indicate an injury or illness was caused by a lack of diligence of the employer; (C) Describe the method by which the MCO’s knowledge of needed loss control services will be communicated to the insurer for determining the need for services as detailed in OAR 437-001; (D) Include a provision that all notifications to the insurer from the MCO will be considered as a request to the insurer for services as detailed in OAR 437-001; and (E) Include a provision that the MCO will maintain complete files of all notifications for a period of three years following the date that notification was given by the MCO. (12) Within 45 days of receipt of all information required for certification, the director will notify the applicant if the certification is approved, the effective date of the certification, and the initial GSA(s) of the MCO. If the certification is denied , the director will provide the applicant with the reason for the denial. (13) The director will not certify an MCO if the plan does not meet the requirements of these rules. (14) Communication Liaison. The MCO must designate an in-state communication liaison(s) to the director and the insurers at the MCO’s established in-state location. Statutory/Other Authority: ORS 656.260 & 656.726(4) Statutes/Other Implemented: ORS 656.260 History: WCD 11-2024, minor correction filed 06/06/2024, effective 06/06/2024 WCD 1-2024, amend filed 03/05/2024, effective 04/01/2024 WCD 4-2023, amend filed 11/22/2023, effective 01/01/2024 WCD 17-2020, minor correction filed 11/30/2020, effective 11/30/2020 WCD 2-2019, amend filed 03/11/2019, effective 04/01/2019 WCD 5-2018, amend filed 03/15/2018, effective 04/01/2018 WCD 7-2013, f. 11-12-13, cert. ef. 1-1-14 WCD 1-2012, f. 2-16-12, cert. ef. 4-1-12 WCD 1-2008, f. 6-13-08, cert. ef. 7-1-08 WCD 10-2007, f. 11-1-07, cert. ef. 1-1-08 WCD 7-2006, f. 10-19-06, cert. ef. 11-28-06 WCD 4-2006(Temp), f. 5-11-06, cert. ef. 6-1-06 thru 11-27-06 WCD 8-2005, f. 12-6-05, cert. ef. 1-1-06 WCD 6-2004, f. 6-14-04, cert. ef. 6-29-04 WCD 14-2003(Temp), f. 12-15-03, cert. ef. 1-1-04 thru 6-28-03 WCD 3-2002, f. 2-25-02, cert. ef. 4-1-02 WCD 12-1998, f. 12-16-98, cert. ef. 1-1-99 WCD 13-1996, f. 5-6-96, cert. ef. 6-1-96 WCD 14-1994, f. 12-20-94, cert. ef. 2-1-95 WCD 2-1992, f. 1-10-92, cert. ef. 2-1-92 WCD 33-1990, f. 12-12-90, cert. ef. 12-26-90 WCD 11-1990(Temp), f. 6-19-90, cert. ef. 7-1-90