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AHIP Issues Statement On Proposed Rule Requiring Disclosure Of Negotiated Prices

posted by AHIP

on August 2, 2019

Washington, D.C. –  Matt Eyles, president and CEO of America’s Health Insurance Plans (AHIP), issued this statement following the release of a proposed rule that would require the disclosure of negotiated rates between health insurance providers and hospitals:

“Everyone deserves affordable coverage and care. And everyone should know what they can expect to pay when they go to a doctor or hospital. That’s why health insurance providers are committed to providing patients and consumers with convenient tools and options to quickly and easily inform them where they can go for care, and how much that care will cost based on their own coverage. Virtually all plans (nearly 95%) empower consumers to comparison shop for a doctor. And the vast majority of plans (about 90%) can show consumers their likely out-of-pocket costs – like co-pays, coinsurance and deductibles – for specific procedures and services.

“We share the Administration’s commitment to empowering patients with better information about the costs of their care and lowering costs. However, multiple experts, including the  Federal Trade Commission, agree that disclosing privately negotiated rates will make it harder to bargain for lower rates, creating a floor – not a ceiling – for the prices that hospitals would be willing to accept. Publicly disclosing competitively negotiated, proprietary rates will push prices and premiums higher – not lower – for consumers, patients, and taxpayers.

“As we participate in the comment period, we look forward to sharing our recommendations for how we can work together for better solutions that provide patient- and consumer-centered price and cost information without undermining competition, quality, choice, and value for hardworking Americans.”