Health insurers and healthcare providers periodically negotiate contracts establishing reimbursement rates, payment methodologies, and administrative requirements for covered services. However, many contracts contain unilateral amendment provisions that allow insurers to change these terms during the contract period, often with limited notice to providers. These provisions can enable insurers to reduce reimbursement rates or alter payment methodologies after negotiations have concluded, undermining the negotiated terms of the contract and creating financial uncertainty for healthcare providers.
 
To support fairer contract terms between insurers and healthcare providers, I will be introducing legislation that would prohibit health insurers from unilaterally modifying, amending, or reinterpreting any material condition during the term of a contract with a healthcare provider. These conditions would include reimbursement methodologies, payment terms, carrier policies, covered services, and more. Mid-contract changes would only be permitted with mutual agreement between an insurer and a provider or as required by law.
 
Please join me in supporting this important legislation to increase certainty and transparency in healthcare reimbursement processes and strengthen agreements between insurers and healthcare providers.