Healthy Competition for Better Care Act

The Healthy Competition for Better Care Act (HR 3120) prohibits health insurance plans and issuers from including restrictive terms in contracts with providers that limit their ability to steer patients toward lower-cost, higher-quality care or offer incentives for specific providers. It bans clauses requiring additional contracts with provider affiliates, mandating payment rates for non-party affiliates, or restricting other plans from offering lower prices for the same services. Exceptions apply to certain health maintenance organizations (HMOs) and value-based networks like accountable care organizations. Self-insured plans must annually attest to compliance and disclose restrictive terms to enrollees. The bill does not affect existing privacy laws (HIPAA, GINA, ADA) and clarifies that compliance does not replace antitrust law requirements.