This bill establishes a binding arbitration process for disputes between health insurance carriers and providers within their networks 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 will involve a review of written submissions from both parties, and the arbitrator's decision will be limited to one of the two final offers presented. The decision will be binding, and the arbitrator's expenses will be shared 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. Providers will continue to receive reimbursement for their services without changes until the start of the next plan year. Furthermore, 30 days before open enrollment, the carrier must notify insured individuals that the provider will be out-of-network in the upcoming plan year. This bill aims to streamline the resolution of disputes and ensure that both parties have a clear process to follow.