Senate bill would hasten health data from insurers to employers

Bloomberg Mercury

A new bipartisan Senate bill would require companies that run health plans to hand over data to employers who insure their workers more quickly, or face thousands of dollars in penalties.

The bill, which is expected to be filed Thursday, would prohibit so-called "third-party administrators" from delaying disclosures of information to employers' health plans. Health insurance is generally the most expensive benefit an employer offers. 

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The bill is led by Senators Roger Marshall, a Kansas Republican and physician, and Colorado Democrat John Hickenlooper, both of whom sit on the Senate's health committee. 

Data would have to be disclosed within 15 days. If administrators fail to comply, they could be fined $10,000 per day.

As employers' costs to insure their workers have grown, companies including Kraft Heinz and unions have taken administrators, owned by big health insurers, to court. The employers claim that insurance companies have failed to disclose data that would illuminate whether insurers are mismanaging health benefits. 

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Insurers have argued in court that some employers agree to limits on how they can access data, and agreements with medical providers are confidential. 

The bill would also strengthen price transparency requirements for hospitals and insurers, and require health care providers to give itemized bills for their services when they invoice patients. 

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