The bill aims to enhance transparency in healthcare by prohibiting health care providers and pharmacists from being penalized for disclosing information about the cost and availability of treatments or drugs to patients or other individuals. Specifically, it bars the enforcement of any contractual provisions that would restrict such disclosures and prevents health insurers or other contracting entities from taking adverse actions against providers for sharing this information. The bill defines key terms such as "health care provider," "health insurer," and "other contracting entity," ensuring clarity in its application.
Additionally, the bill allows health care providers to inform patients about the estimated costs of treatments or drugs, including alternatives that may be less expensive, and to discuss the comparative effectiveness of available options. Any contractual provisions that impose penalties or restrictions on providers for sharing this information are deemed unenforceable in Alabama courts. The act is set to take effect on October 1, 2025.