Ambulance squad praises new law changing how insurance money is paid

Ogdensburg, New York (WWNY) – A local ambulance squad is expressing appreciation for a recently enacted state law that alters the way insurance funds are disbursed. Governor Kathy Hochul signed the Direct Pay Bill into law, marking a significant victory for entities such as the Ogdensburg Volunteer Rescue Squad.

Previously, Chief Ken Gardner explained that insurance funds were directed to the individuals transported in ambulances. However, there was an issue as these individuals often failed to use the funds to compensate the ambulance squad. Chief Gardner highlighted a substantial loss of $169,000 in 2022 alone, emphasizing the need for a change. Looking ahead to 2023, he anticipated a similar scenario.

Acknowledging the instrumental role played by state lawmakers like Senator Mark Walczyk and Assemblyman Scott Gray, Chief Gardner expressed gratitude for their efforts in the legislative process. Assemblyman Ken Blankenbush also endorsed the law, emphasizing that EMS workers deserve direct compensation for their services.

The law, set to take effect in 2025, is expected to assist rescue squads in acquiring new equipment. Chief Gardner clarified that while it won’t bring wealth, it will contribute to the squad’s sustainability, ensuring its continued operation.

Despite this positive development, St. Lawrence County Director of Emergency Services Matt Denner highlighted that ambulance squads still face challenges with insufficient reimbursement from Medicare and Medicaid. He emphasized that the current reimbursement falls short of covering the actual costs incurred during transports.

In contrast to the support from emergency service providers, insurance companies have opposed the law, arguing that it may give ambulance squads the ability to set arbitrary prices for their services.