Bill > S699

This bill aims to protect healthcare providers from unfair contract practices by insurance carriers (also known as health insurance companies). The legislation prohibits carriers from including contract provisions that allow them to terminate a healthcare provider's contract without cause and prevents them from making unilateral (one-sided) changes to material contract terms without proper notice. Specifically, if a carrier wants to change significant aspects of a contract such as fee schedules, payment terms, covered services, or policies related to quality management, they must provide written notice at least 90 days before the end of the current contract term, and any changes can only take effect after the current contract term expires. The bill applies to multiple state entities, including the state commission that purchases health insurance policies, and ensures that such entities cannot enter into contracts with insurance companies that do not adhere to these consumer protection guidelines. The legislation still allows carriers and healthcare providers to mutually agree on contract amendments, preserving flexibility while preventing unilateral, potentially harmful contract modifications.

Business and Industry, Health and Social Services

https://malegislature.gov/Bills/194/S699