Restrictions relating to virtual credit card payments for disability insurance policies
Wis. Stat. § 632.872
in effect(1) Definitions. In this section:
(a) “Disability insurance policy” has the meaning given in s. 632.895 (1) (a).
(b) “Health care provider” has the meaning given in s. 146.81 (1).
(c) “Virtual credit card payment” means an electronic funds transfer in which an insurer, or a contracted vendor, issues a single-use series of numbers associated with payment for services performed by a health care provider and chargeable to a predetermined dollar amount, in which the health care provider is responsible for processing the payment through a credit card terminal or Internet portal, and in which the single-use series of numbers expires upon payment processing. “Virtual credit card payment” does not include a payment in which a physical credit card is used.
(2) Method of payment.
(a) An insurer offering a disability insurance policy may not require a health care provider to accept payments under the disability insurance policy by virtual credit card payment.
(b) Beginning on April 4, 2026, an insurer offering a disability insurance policy shall do all of the following before the first time the insurer provides a payment to a health care provider under the disability insurance policy via a virtual credit card payment:
1. Notify the health care provider that an additional fee may be collected for a payment method option available to the health care provider.
2. Inform the health care provider of the payment method options available and provide clear instructions to the health care provider for selecting a payment method other than virtual credit card payment.
(c) An insurer, or a contracted vendor, that transmits a payment to a health care provider under a disability insurance policy in accordance with the standards under 45 CFR 162.1602 may not charge a fee solely for the transmission of the payment to the health care provider unless the health care provider has consented to payment of the fee.
(3) Waiver prohibited. The requirements under sub. (2) may not be waived. Any provision of a contract contrary to sub. (2) is void and unenforceable.
Source: WI Statutes (Official Site)URL: https://docs.legis.wisconsin.gov/document/statutes/632.872Fetched: 10/7/2026