Healthcare

Amend KRS 304.39-020, relating to personal injury protection benefits, to modify requirements for certain medical expenses paid by a reparation obligor; amend KRS 304.39-130 to increase the allowable weekly reimbursement for work loss and other loss; amend KRS 304.39-210 to establish requirements for a reparation obligor paying medical expenses and a person submitting and collecting medical expenses; create a new section of KRS Chapter 15 to provide the Attorney General with concurrent jurisdiction in the investigation and prosecution of offenses under KRS 304.47-020; amend KRS 304.47-020 to conform; create a new section of Subtitle 47 of KRS Chapter 304 to require the insurance commissioner to publish an annual insurance fraud report; direct that certain provisions apply to basic and added reparation benefits issued or renewed on or after the effective date of the Act.

Direct the Cabinet for Health and Family Services to withdraw the 1115(a) demonstration waiver application that was submitted on June 25, 2025, to the federal Centers for Medicare and Medicaid Services to implement a mandatory community engagement program; EMERGENCY

Create new sections of KRS Chapter 218A to define terms; establish the ibogaine research and intellectual property fund to be administered by the Department of Agriculture for the purpose of allowing the department to enter a public-private partnership with a drug developer to conduct a clinical drug development trial or trials related to the use of ibogaine for the treatment of opioid use disorder, co-occurring substance use disorder, or any other neurological or mental health condition for which ibogaine demonstrates efficacy; establish requirements for the department related to how it contracts with a drug developer related to ibogaine research and intellectual property; appropriate $21 million from the opioid abatement trust fund to the ibogaine research and intellectual property development fund in fiscal year 2026-2027 and in fiscal year 2027-2028; APPROPRIATION; EMERGENCY.

Amend KRS 205.6412 to require the Department for Medicaid Services to seek authorization from the United States Centers for Medicare and Medicaid Services to implement a state-directed payment for physician and nonphysician professional services provided to a Medicaid beneficiary by a qualifying hospital's affiliated physician groups or physicians and other professionals employed or contracted by the qualified hospital; require the Department of Medicaid Services to direct Medicaid managed care organizations to issue payments back to January 1, 2026, upon federal approval; RETROACTIVE.

Amend KRS 218A.205 to remove the requirement of a permanent licensure ban on licensees and applicants convicted of a felony offense regarding prescribing or dispensing a controlled substance; make technical corrections.

Create new sections of KRS Chapter 367 to define terms; restrict the use of artificial intelligence by certain licensed professionals in therapy and psychotherapy services; prohibit licensed professionals from using artificial intelligence to assist in providing supplementary support in therapy or psychotherapy services where the client's therapeutic session is recorded; provide exceptions; prohibit advertising or offering therapy or psychotherapy services unless the therapy or psychotherapy services are conducted by a licensed professional; limit how a licensed professional may use artificial intelligence; require all records between a licensed professional and a patient to be confidential; grant enforcement authority to the relevant board; exclude religious counseling, peer support, and self-help materials; EMERGENCY.