A provision in Alaska's HB14 mandates equal reimbursement for telehealth and in-person care, effective January 1, 2027.
Most child care owners in Alaska don't realize that a provision buried in HB14—a bill primarily about Medicaid, insurance, and workers' compensation—directly affects how much their health insurance will reimburse telehealth services. That matters because it changes the economics of how your staff access care.
Starting January 1, 2027, Alaska health insurers must reimburse telehealth providers at the same rate they pay for identical in-person services. This is called "parity" reimbursement.
Until now, many insurers have paid less for a telehealth visit than for the same visit in a doctor's office. That discount has been standard practice across the industry. HB14 eliminates that practice in Alaska, requiring equal payment regardless of whether care is delivered remotely or in person.
This provision applies to all health insurance plans in Alaska. It covers telehealth services from any provider—large medical groups, small independent practices, behavioral health providers, and specialists. The mandate is written into Alaska's insurance code (AS 21.42.422, new subsection (c), found on page 4 of the bill).
For child care centers, the practical impact shows up in two ways: First, if your business offers health insurance to staff, your plan's telehealth benefits become more robust and valuable starting in 2027. Second, if you or your employees use telehealth services, those visits will be reimbursed at full rate rather than at a discount.
Telehealth has become a real option for busy child care workers who struggle to take time off for appointments. Behavioral health services—counseling, therapy—are particularly common via telehealth. When insurers discount telehealth reimbursement, providers have less incentive to offer it, and employees face higher out-of-pocket costs, making them less likely to seek care.
By requiring equal payment, Alaska is removing a financial barrier. This means telehealth becomes a more practical option for your staff, which can reduce time away from the center and improve access to mental health and specialty care.
For small providers and behavioral health practices that serve your employees, parity reimbursement improves their business model, making them more likely to accept your insurance plan and offer services to your staff.
The effective date is January 1, 2027. That gives insurers and providers time to adjust their systems and fee schedules. If you're renewing your group health plan before then, you may not see changes immediately—but starting in 2027, any telehealth benefit in your plan will be reimbursed at parity rates.
If you have questions about how this affects your specific plan, your insurance broker or plan administrator can walk you through the details when 2027 approaches.
Source: Alaska HB14, Sec. 2 (new subsection (c) to AS 21.42.422), effective January 1, 2027.