This bill aims to protect network providers by prohibiting health insurance carriers from making any changes to their contracts that would result in a reduction of reimbursement during the contract's term. This measure ensures that providers can rely on the agreed-upon terms without the risk of unexpected financial cuts imposed by the carriers.

The bill will take effect on the first day of the third month following its passage and will apply to all contracts that are entered into or renewed on or after that effective date. This legislative action seeks to promote stability and fairness in the relationships between health insurance carriers and their network providers.