States are still failing to make health care prices accessible and transparent for their residents, according to a recent “report card” released jointly by the Health Care Incentives Improvement Institute (HCI3) and the Catalyst for Payment Reform (CPR).

Ninety percent of states do not supply sufficient price information to those shopping for health care products and some have even regressed in their efforts to provide consumers greater price awareness, the report card concluded.

Ideally, states would all provide consumers with an easily-navigable public website as well as an all-payer claims database (APCD) that lets residents compare prices of various health care plans and products.

New Hampshire, which recently revived an inactive website for state residents, was a bright spot in the report. In contrast, its neighbor, Massachusetts, dropped in the rankings after it shut down its website.

The silver lining, according to HCI3 and CPR, is that state lawmakers are increasingly aware of their advocacy efforts, and many are citing the report card in attempts to advance transparency legislation.

“Legislative sessions are still underway and some proposed bills may still pass,” said Francois de Brantes and Suzanne Delbanco, executive directors of HCI3 and CPR, respectively. “There are hopeful signs of progress in New York, Connecticut, Maryland and Washington state, where officials are in the process of building websites and APCDs.

“We expect progress, even at a slow pace,” said de Brantes and Delbanco.

The group leaders nevertheless struck a somber tone in discussing the roadblocks to greater transparency, including political pressure from interests who they say benefit from “price opacity.” They identified those interests as “providers, suppliers and other payers to the industry.”

Legislators and the media, they claimed, are often misled by claims that laws forcing greater price disclosure compromise “price as a trade secret” or risk illegally violating contracts between payers, providers, and suppliers.

They note, however, that the states that have successfully implemented their recommendations have not encountered any of the legal snafus that opponents predicted.

“Many of the arguments against price transparency—including that it leads to higher prices and breaks laws—are toothless,” they said. “We hope the legal analysis helps legislators and the media focus on the right considerations.”

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Dan Cook

Dan Cook is a journalist and communications consultant based in Portland, OR. During his journalism career he has been a reporter and editor for a variety of media companies, including American Lawyer Media, BusinessWeek, Newhouse Newspapers, Knight-Ridder, Time Inc., and Reuters. He specializes in health care and insurance related coverage for BenefitsPRO.