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Arford bill to increase health care price transparency approved by Legislature

AUGUSTA - Legislation sponsored by Rep. Poppy Arford, D-Brunswick, that would require health care entities and private insurers to provide patients with an estimated cost of their health care services, received unanimous final approval by the Maine Legislature on Wednesday.

"Imagine a world where you have a right to know the out-of-pocket cost you will have to pay when you schedule or request a health care service," said Arford. "LD 1740 takes us closer to establishing, for both insured and uninsured Mainers, the right to know how much they will have to pay for a health care service before it is delivered. The inability to afford health care bills is a leading cause of bankruptcy in our country. The passage of this bill, with strong support from both Democrat and Republican legislators, demonstrates that we are working together and that we care that Mainers have timely, accurate cost information regarding their health care."

At the federal level, the No Surprises Act, effective Jan. 1, 2022, requires health care entities and insurers to provide an estimate of costs associated with the health care services patients are seeking. However, the federal rules needed to fully implement this law for both insured and uninsured patients have not been issued.

"Without the necessary implementation rules from the federal government, we have decided to act at the state level to address health care price transparency and better ensure that there are no surprises for Mainers seeking crucial health services," said Arford. "If signed into law, LD 1740 will work together with the federal rules going forward."

"We are thrilled policymakers are taking action to improve transparency in health care costs," said Kate Ende, policy director at Consumers for Affordable Health Care (CAHC). "We often hear from Mainers who struggle to get a price estimate for how much they will have to pay for a medical service. With health care costs continuing to rise, Mainers deserve access to reliable estimates for medical care. Empowering individuals with accurate information about the financial aspects of their medical care allows people to make informed decisions about health care setting and services, and to navigate their health care journey more confidently."

Polling released last year by CAHC shows that most Mainers don't know how much they will have to pay for a medical service. The report also shows there is strong support for policies to increase price transparency.

The bill now heads to the governor's desk.

Arford is serving her second term in the Maine House. She represents House District 101, part of Brunswick, and is a member of the Health Coverage, Insurance and Financial Services Committee.

Contact:

Brian Lee [Arford], c. 305-965-2744