This bill establishes a binding arbitration process for disputes between health insurance carriers and providers within the carrier's network regarding pricing and reimbursement terms. If negotiations fail, either party can initiate arbitration by notifying the other party of their final offer and filing a request with the Department of Banking and Insurance. The arbitration process includes a review of written submissions from both parties, and the arbitrator's decision will be based on one of the final offers submitted, which will be binding. The bill also outlines that the arbitrator's expenses will be shared equally unless the carrier is found to have acted in bad faith.

Additionally, if a dispute remains unresolved 60 days before the expiration of a contract, arbitration will automatically be initiated. The bill mandates that reimbursement for healthcare services will continue without changes until the start of the next plan year. Furthermore, a notice must be sent to insured individuals 30 days before open enrollment, informing them that the provider will be out-of-network in the upcoming plan year if the dispute is not resolved.