Hospital and ASC Price Transparency Act of 2023
The intended outcome of this legislation is twofold: to empower patients with the necessary information to make financially informed healthcare decisions and to foster competition among healthcare providers. By revealing their pricing structures, it is anticipated that hospitals and ASCs will be incentivized to offer more competitive pricing in order to attract patients, ultimately leading to reduced healthcare costs statewide. Additionally, the legislation seeks to combat rising healthcare costs and enhance accountability within the Medicare program.
House Bill 4839, titled the Hospital and ASC Price Transparency Act of 2023, aims to enhance price transparency within Medicare by mandating specified hospitals and ambulatory surgical centers (ASCs) to publicly disclose their pricing information. Beginning January 1, 2026, hospitals will be required to make their standard charges, including gross charges and discounted cash prices for medical services, accessible to consumers without any subscription fees. Furthermore, starting January 1, 2028, ASCs will also need to adhere to similar transparency requirements, thereby promoting informed consumer choices in healthcare services.
Noteworthy points of contention around HB 4839 include concerns about the feasibility and implementation of these transparency measures by providers, particularly among smaller hospitals and those in underserved regions. Critics express that the financial burden of complying with the new regulations could disproportionately affect these facilities, potentially leading to a reduction in services offered or even closure. Moreover, there are discussions surrounding the adequacy of the information to be disclosed, as merely revealing prices might not equate to true transparency if such prices do not reflect out-of-pocket costs for patients based on their specific insurance coverage.