The Nurse Licensure Compact Explained
Published on March 29, 2021
The enrollment process for providers can be tedious and stressful at times especially if the provider travels out of state to work frequently. The Nurse Licensure Compact (NLC) became effective January 19, 2018, allowing providers to practice in multiple compact states without being required to hold a valid single state license (SSL) in each state.
The Nurse Licensure Compact is an interstate compact, an agreement between multiple states, put into place to resolve certain multistate concerns. The license compact is similar to a driver's license compact which allows recognition and acceptance of a person's license regardless of the state they may be in or are from. The NLC requires the provider to hold a valid multistate license in their primary state of residency (PSOR), also referred to as the home state. Once the provider acquires their multistate license (MSL), they are then eligible to apply for multistate privileges (MSP) in all other compact states also know as party states.
In order for the providers MSL to be valid in other states beside their home state, the state must be a compact state; currently participating and having enacted the Nurse Licensure Compact into law. The verification process of a provider's license can vary from state to state and may include a requested verification letter that you can retrieve directly from the Nursing Board of a particular state. For example, when Alabama first enacted the NLC into law, the Alabama Board of Nursing posted instructions on their website on how to obtain a provider's MSP verification approval by simply requesting a copy via email. Nursys website is also a great source of information when dealing with providers that hold a MSL and practice in multiple states. Nursys (nursys.com) is a license verification website that has the capability to verify license for all states.
An example of multistate concern, is the Covid-19 pandemic. The NLC gave providers that already held multistate license's the ablility to practice across state lines. Throughtout the pandemic several hosptials and healthcare facilites across the country experienced the overwhelming concern for patient care. Not only did the virus increase the quantity of sick patients, but it also increased the immediate need for providers with ablity to practice in multiple states.
Understanding the newly implemented NLC is extremely important when enrolling providers that practice in multiple states. Often times payers are not familiar with the rules of the NLC and require education about the compact in order to continue processing of enrollment applications in a timely manner. The benefits of having a billing office with an knowledgeable Provider Enrollment Specialist is vital to ensure a worry free enrollment experience.
Provider Enrollment Specialist