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 recognizes that delays in payment contribute to financial vulnerabilities for healthcare providers and facilities, ultimately affecting patient care. To address this issue, the bill mandates that these entities report specific metrics related to claims payment timeliness to the Office of the Insurance Commissioner and the Health Care Authority. This information will be compiled and published annually, starting in 2027, to provide insights into payment practices and trends.

Specifically, the bill introduces new reporting requirements for health carriers, managed care organizations, and health plans, which include data on 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. Additionally, the legislation defines a "clean claim" and outlines the need for the relevant authorities to analyze and report on the data collected, including any complaints received regarding payment timeliness. This initiative is designed to foster accountability and improve the financial stability of healthcare providers while ensuring better care for patients.