The bill aims to enhance transparency regarding the timeliness of claims payments made by health insurance carriers, health plans, and managed care organizations in Washington State. It establishes new reporting requirements for these entities, mandating that they submit detailed data on claims payment timeliness to the Office of the Insurance Commissioner and the Health Care Authority. This data will include the total number of claims submitted, the classification of claims as "clean" or "not clean," the average time taken for payment, and the percentage of claims paid within 30 days. The bill also requires the relevant authorities to compile and publish annual reports summarizing this information, along with any complaints received related to claims payment.

Additionally, the bill defines a "clean claim" as one that is free of defects or improprieties that could delay payment. The new sections added to chapters 48.43, 74.09, and 41.05 of the Revised Code of Washington (RCW) outline the specific data that must be reported by health carriers, managed care organizations, and health plans, respectively, starting from January 1, 2027. The legislation seeks to alleviate the financial burden on healthcare providers and facilities caused by delayed payments, ultimately improving patient care.