CHAPTER 4. REFERRAL SERVICES
IC 25-14-4
Chapter 4. Referral Services
IC 25-14-4-1
Application of chapter
Sec. 1. This chapter does not apply to:
(1) any individual, agency, association, or corporation notorganized or incorporated for pecuniary profit or financial gain;
(2) any organization or association that is exempt from taxationunder Section 501(c) of the Internal Revenue Code; or
(3) any policy issued under IC 27 or entity licensed or regulatedunder IC 27, including the following:
(A) A health maintenance organization under IC 27-13.
(B) A claim review agent under IC 27-8-16.
(C) A utilization review agent under IC 27-8-17.
(D) A preferred provider arrangement under IC 27-8-11.
(E) An insurance administrator under IC 27-1-25.
As added by P.L.33-1993, SEC.23. Amended by P.L.26-1994, SEC.8.
IC 25-14-4-2
Disclosure that dentist paid referral fee for participation in service
Sec. 2. A person, firm, partnership, association or corporation, oragent or employee that engages in for profit any business or servicethat in whole or in part includes the referral or recommendation ofpersons to a dentist for any form of dental care or treatment mustdisclose to a prospective patient at the time the prospective patientmakes the contact with the service that the licensed dentist has paida fee for participation in the service.
As added by P.L.33-1993, SEC.23.
IC 25-14-4-3
Out-of-state dental referrals to business not meeting chapterrequirements
Sec. 3. A dentist may not enter into a contract or other form ofagreement to accept for dental care or treatment a person referred orrecommended for the care or treatment by a dental referral servicebusiness located in or doing business in another state if the dentalreferral service business does not meet the requirements of thischapter.
As added by P.L.33-1993, SEC.23.
IC 25-14-4-4
Advertisements by dental referral services; necessary disclaimers
Sec. 4. A for-profit dental referral service that advertises mustinclude in each advertisement an audible or a written disclaimerrevealing that:
(1) Each subscribing member of the for-profit dental referralservice is a dentist who has paid a fee to participate in theservice.
(2) Dentists who are members of the for-profit dental referral
service are not more or less qualified than dentists who are notmembers of the service.
As added by P.L.33-1993, SEC.23.
IC 25-14-4-5
Advertisements; prohibited acts
Sec. 5. For-profit dental referral service advertisements may notdo any of the following:
(1) Misrepresent facts, be deceptive, or create false ormisleading impressions regarding the skills or abilities ofsubscribing dentists.
(2) Contain statements or make recommendations concerningnonspecific or non bona fide claims of providing referrals to themost qualified dentists or dental practices.
(3) Describe:
(A) a review process;
(B) a screening; or
(C) qualifications or information verification;
that misleads the public into thinking a dentist subscriber hasobtained a special recognition or joined a selective group oflicensed dentists by being a member of the for-profit dentalreferral service.
As added by P.L.33-1993, SEC.23.
IC 25-14-4-6
Chapter violation; offenses
Sec. 6. A person who violates this chapter commits a Class Amisdemeanor.
As added by P.L.33-1993, SEC.23.
IC 25-14-4-7
Injunctive relief
Sec. 7. (a) This section is in addition to the penalty imposed undersection 6 of this chapter.
(b) Whenever there is a violation of this chapter, the attorneygeneral may seek an injunction in a circuit or superior court withjurisdiction in the county where the violation occurred to enjoin andrestrain the continuance of the violation.
(c) If the court finds that the defendant has violated this chapter,an injunction may be issued by the court enjoining and restrainingany further violation without requiring proof that any person hasbeen injured or damaged by the defendant's action.
As added by P.L.33-1993, SEC.23.
IC 25-14-4-8
Notice of intent to bring action against referral service;opportunity to cure violation
Sec. 8. (a) No legal action under this chapter may be commencedby the attorney general against a for-profit dental referral serviceuntil the attorney general has given the service thirty (30) days
written notice of the violation.
(b) Notice under subsection (a) must comply with the following:
(1) Be sent by registered or certified mail, return receiptrequested.
(2) Include a copy of the code sections of the chapter alleged tohave been violated.
(3) Describe the alleged unlawful advertising.
(4) Include a statement that the for-profit dental referral servicehas the lesser of:
(A) thirty (30) days from the date the notice was received; or
(B) thirty-five (35) days from the date the notice was sent;
to cure the violation.
(c) A for-profit dental service that does not cure a violation withinthe time period required under subsection (b) is subject to sections6 and 7 of this chapter.
As added by P.L.33-1993, SEC.23.
IC 25-14-4-9
Rules and guidelines
Sec. 9. Before January 2, 1994, the state board of dentistryestablished by IC 25-14-1-2 shall adopt rules under IC 4-22-2 thatmay include the following:
(1) Guidelines regarding the referral of subscribing dentists forspecialty services.
(2) Guidelines for ensuring that patient referrals by thefor-profit dental referral service must be initiated by a patient.
(3) Guidelines for ensuring that the for-profit dental referralservice does not impose a fee on the subscribing dentistsdependent upon the number of referrals or the amount ofprofessional fees paid by the patient to the dentist.
(4) Guidelines for ensuring there is a prohibition againstfor-profit dental referral services limiting dentist subscriberssolely on the basis of a dentist's exclusive geographic location.
(5) Guidelines regarding dentists basing fees on servicesperformed with no additional fee charged because the patient isa referral.
(6) Guidelines for preventing for-profit dental referral serviceadvertisements that are false, misleading, or deceptive.
(7) Guidelines considering the content of disclaimers requiredin section 4 of this chapter for dental referral services thatadvertise on television or any other medium that combine audioand video. Such guidelines may require both audio and visualdisclaimers.
(8) A procedure for a for-profit dental referral service toforward complaints to the proper state authority.
(9) Appropriate safeguards to ensure that all subscribingdentists are fairly selected for referrals on a rotating basis.
(10) Guidelines for ensuring that a for-profit dental referralservice must charge each subscribing dentist in the sameadvertising market the same fee to become a member of the
service.
As added by P.L.33-1993, SEC.23. Amended by P.L.24-1999,SEC.16.