SPRINGFIELD, ILLINOIS — The Illinois Academy of Audiology (IAA) announced that State Senator Julie Morrison (D–Deerfield) will sponsor Senate Bill 2838 (SB2838), legislation that would add a new “Hearing Care Plan Contracts Article” to the Illinois Insurance Code and increase state oversight of hearing care plans, sometimes referred to as third-party administrators.
Filed in the Illinois Senate on January 13, 2026, SB2838 is intended to “better protect Illinois consumers” by requiring clearer benefit disclosures in marketing and plan documents, adding transparency requirements around ownership ties to hearing aid manufacturers, and limiting certain pricing pressure on hearing care providers, according to the Academy.
What SB2838 Would Do
In its announcement, the IAA highlighted several provisions the bill is designed to address:
- Clearer definitions and benefit disclosure: Plans would be required to define key terms (including covered items and services) and to correctly represent those terms in marketing and plan documents, including specific dollar benefit amounts and applicable cost-sharing requirements.
- Ownership disclosure: If a hearing care plan is owned by a manufacturer of prescription hearing aids, SB2838 would require disclosure of that relationship on the plan’s website, in marketing communications, and in plan documents, along with identification of which prescription hearing aids offered through the plan are manufactured or distributed by the owner.
- Limits on pricing requirements for noncovered items: The Academy said the bill would restrict plans from requiring hearing professionals to provide noncovered products or services at plan-set prices, a provision intended to reduce consumer confusion and limit steering into uncovered services.
Registration and Oversight Beginning in 2027
The IAA also noted that SB2838 would establish a state registration requirement. Beginning January 1, 2027, hearing care organizations would be required to register with the Illinois Department of Insurance, keep information current, and follow applicable state rules in order to continue doing business in Illinois.
Under the Academy’s summary, violations would be treated as an unfair or deceptive business practice under Illinois law, which could strengthen enforcement mechanisms and consumer protections.
Next Steps
The Illinois Academy of Audiology said it will continue to provide updates to members and the public as the bill progresses. The Academy also acknowledged its lobbyist, James Morphew, for support in developing the proposal and recruiting sponsorship.
References
1 Illinois Academy of Audiology. “Illinois Academy of Audiology secures Senator Julie Morrison (D-Deerfield) as sponsor for SB2838 – The Hearing Care Plan Contracts Article.” January 18, 2026.
2 Illinois General Assembly. SB2838 (10400SB2838lv) – Full text.
Source: ILAA
