In rural Alabama, ambulance coverage can be a matter of life and death but low reimbursement rates from insurers have made it difficult for providers to keep enough ambulances on the road.

A new bill in the state legislature would mandate commercial insurers allow ambulance services into their networks and set minimum payment rates.

Stephen Wilson, director of operations for Haynes Ambulance of Alabama, described the coverage gaps in rural counties, which often result in service delays.

"You pick a rural county in Alabama. We typically have one, maybe, sometimes two ambulances available in those counties," Wilson explained. "When one of those ambulances goes out on a call, and then a second call comes in, in that county, we have to send an ambulance from one of our more urban areas."

The bill, which has passed the Senate and cleared a House committee, would set new reimbursement rates for ambulance services and allow them to be paid for treating patients on scene, something they currently do for free. Supporters said the bill is needed to stabilize rural ambulance services. Opponents, including the Alabama Association of Health Plans, said it would raise premiums.

Wilson argued the root of the problem is low reimbursement rates from commercial insurers, making it hard to pay competitive wages and keep equipment updated.

"Due to low reimbursements, it's difficult to pay our EMTs and paramedics a competitive wage," Wilson pointed out. "And also, it helps us to purchase new and better, more modernized equipment for our crews to utilize while taking care of patients."

Opponents, including the Alabama Farmers Federation and the Alabama Association of Health Plans, said the bill would raise premiums for Alabamians who are already struggling to afford coverage. In 2022, the legislature passed Act 106, declaring ambulance service an essential function of government.

Source: Public News Service