SPRINGFIELD, ILLINOIS — Illinois Governor JB Pritzker has signed Senate Bill 2838 (SB2838), establishing new transparency and consumer protection requirements for hearing care plans operating in the state.
The legislation is intended to improve how hearing care benefits, coverage details, cost-sharing obligations, and other plan information are communicated to consumers and participating hearing care professionals. It also places new limits on how hearing care organizations may set prices for products and services that are not covered benefits under a plan.
New Requirements for Hearing Care Plans
Under the new law, hearing care organizations and third-party administrators will be required to clearly communicate plan benefits and coverage information to enrollees, prospective enrollees, and participating hearing care professionals.
The legislation also prohibits hearing care plans from requiring professionals to provide noncovered products or services at rates established by the plan. When a professional chooses not to accept a plan-established price for a noncovered service, the law establishes additional disclosure requirements intended to ensure that patients understand their options and potential costs.
Supporters say the new requirements will give patients a clearer picture of what their hearing care plan covers—and what it doesn’t.
Another provision addresses discounted hearing care plans and seeks to prevent discount arrangements from being presented to consumers as funded insurance benefits. The goal is to provide greater clarity when patients compare traditional hearing benefits with programs that primarily offer access to negotiated or reduced prices.
Ownership and Financial Relationships
SB2838 also introduces disclosure requirements for hearing care organizations owned by manufacturers of prescription hearing aids. Those organizations will be required to disclose the ownership relationship in plan documents, marketing communications, and on their websites.
Plans must also identify which prescription hearing aids offered through the program are manufactured or distributed by the organization’s parent company. Supporters of the legislation have said these provisions are intended to give consumers greater visibility into potential financial relationships that may influence the products available through a hearing care plan.
Registration and State Oversight
Beginning January 1, 2027, hearing care organizations doing business in Illinois will be required to register with the Illinois Department of Insurance and keep their registration information current.
The Department will have authority to establish rules governing the registration process and oversight of hearing care plans. Violations may be treated as unlawful practices under the Illinois Consumer Fraud and Deceptive Business Practices Act, providing an enforcement mechanism for the new requirements.
Bill Advances Following Audiology Advocacy
The American Academy of Audiology supported the legislation and credited the Illinois Academy of Audiology and its members for their work advancing the measure. The Academy said the law has the potential to improve consumer understanding of hearing care benefits while providing greater clarity and fairness for patients and hearing care professionals.
As HHTM previously reported, SB2838 was introduced in January with sponsorship from State Senator Julie Morrison (D–Deerfield). The proposal was developed in response to concerns involving benefit disclosures, manufacturer ownership, discounted hearing programs, and plan-established pricing for noncovered products and services.
The bill’s enactment marks the completion of a legislative effort that began with its filing in the Illinois Senate and continued with support from state and national audiology organizations.
Sources: American Academy of Audiology; Illinois General Assembly
