Bill > H1397

This bill addresses unfair business practices by health care providers owned by private equity companies. Specifically, it targets situations where such providers refuse to negotiate in good faith with public or private payers (insurance companies or government health programs) for contracted services. Under the proposed law, if a provider fails to negotiate reasonably, they would be limited in how much they can charge for non-contracted services, capping their reimbursement at 200 percent of the payer's average contracted rate for that particular service. Furthermore, any violation of this provision would be considered an unfair or deceptive business practice under Massachusetts' consumer protection laws (Chapter 93A), which could potentially subject the provider to legal penalties. The bill aims to prevent private equity-owned health care providers from engaging in what could be seen as predatory billing practices by restricting their ability to charge exorbitant rates when they choose not to establish standard contractual agreements with payers.

Health and Social Services

https://malegislature.gov/Bills/194/H1397