Healthy Competition for Better Care Act

The Healthy Competition for Better Care Act (S.1451) prohibits health insurance issuers and group health plans from entering contracts with providers that restrict their ability to steer enrollees to other providers, offer incentives for specific care, or require additional contracts with provider affiliates. It bans terms that force plans to accept payment rates for non-party affiliates or limit other plans from offering lower rates for the same services. The bill includes exceptions for health maintenance organizations (HMOs) operating through exclusive multi-specialty contracts and value-based networks like accountable care organizations. Health plans must annually attest to compliance, and the law preserves existing privacy protections under HIPAA, GINA, and ADA. This applies to all health insurance contracts entered into 18 months after enactment.