Weekly HR & Benefits Updates 2.14.25

Generative Artificial Intelligence Leveraged to Deliver Healthcare - Legal Risks and Issues (PDF)

“Examples of the use of generative AI in health care are ... [1] collect and analyze medical scans, highlight abnormalities and recommend potential treating options for physicians. [2] collect data from patient monitoring and develop personalized treatment plans. [3] send reminders to patients about drug adherence, etc. [4] assist providers in completing medical records, allowing for more efficient and speedier care. At the state level, to date, only California, Colorado and Utah have enacted AI statutes while pending legislation at both the federal and state level are actively being considered nationwide.” Full Article

JD Supra, LLC

Telehealth Access is Crucial to Mental Health Care for People with Employer-Sponsored Insurance

“Telehealth played an outsized role in the delivery of mental health services starting in 2020, with over 40% of mental health visits occurring via telehealth from 2020-2022. Females, young adults, and people residing in the northeast and west coast received the highest share of mental health care via telehealth. Therapy was the most commonly received mental health service via telehealth." Full Article

Health Care Cost Institute Inc.

Was the Johnson & Johnson Win a Win for Other Health and Welfare Plan Fiduciaries? Maybe Not.

"Health plan fiduciaries should strongly consider these steps to reduce their litigation exposure:

[1] Establish a fiduciary committee for health and welfare benefits, adopt a committee charter, and delegate fiduciary responsibility to the committee. [2] Engage qualified prescription drug plan consultants to assist in comparing PBMs and prescription drug arrangements. [3] Request and review PBM agreements, fee and rebate arrangements, and formularies, and negotiate reasonable terms. [4] Collect and review benchmark information from other plans and pharmacies and compare to current and prospective vendor agreements or proposals." Full Article

Kutak Rock, LLP

Proposed Changes to the HIPAA Security Rule: What Regulated Entities Need to Know

“The Notice of Proposed Rule Making reflects a major overhaul of the Security Rule and, if finalized, will affect how regulated entities comply with the Security Rule by: [1] Eliminating the distinction between required and addressable implementation specifications. [2] Requiring documentation? of? security? practices.

[3] Prescribing timeframes for completing security activities." Full Article

ArentFox Schiff, LLP

When Are Employee Benefits Not Subject to ERISA?

“While the scope of ERISA preemption is exceptionally broad, ERISA does not apply to plans offered by governmental employers or plans sponsored by religious entities unless an election has been made under the Internal Revenue Code to have the plan treated as an ERISA plan. ERISA's reach also does not extend to 'payroll practices,' which the DOL has excluded." Full Article

DeBofsky Law, Ltd

March 1 Deadlines for Group Health Plans

“An employer with a group health plan that provides prescription drug coverage to Medicare-eligible individuals must make an annual disclosure to CMS no later than March 1, 2025 for calendar-year plans. Employer group health plans must report small breaches occurring in 2024 no later than March 1, 2025." Full Article

Venable, LLP

This Weekly Digest is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel for legal advice.