HB 1589 Washington House · 2025-2026 Regular Session

Concerning the relationships between health carriers and contracting providers.

House Bill 1589 updates regulations concerning health insurance companies and healthcare providers. It requires the state insurance commissioner to ensure health carriers' networks include a sufficient number of contracted providers, specifically for emergency, anesthesiology, and behavioral health services. The bill outlines conditions under which carriers can use alternative methods to meet network needs, ensuring patients do not incur greater costs. Additionally, it mandates that health carriers offer providers a meaningful, good-faith opportunity to negotiate contract terms, prohibiting specific actions like failing to provide a clear fee schedule or contract changes.
Bill status passed 3 of 5 stages cleared
Introduction
Jan 2026
Committee Review
Feb 2026
House Passage
Mar 2025
Senate Passage
Governor
Introduced Jan 12, 2026 Last action Feb 19, 2026
Maddy AI version diff · 4 comparisons

What changed between versions

Third Substitute Bill Engrossed Second Substitute Bill · 12 edits · Mar 8, 2025
MAJOR
The bill was reclassified from the Health Care committee to Appropriations, shifting its focus from general contract negotiation rules to specific prohibitions on unfair contract terms like 'all-or-nothing' clauses and cross-plan discounts. It significantly strengthened enforcement by adding a $5,000 fine per violation and requiring a signed attestation for contract filings, while also introducing a requirement for the Insurance Commissioner to analyze payment trends and report to the legislature.
Scope change
The bill's scope expanded to explicitly prohibit specific unfair contract terms (all-or-nothing clauses and cross-plan discounts) and introduced a new requirement for the Insurance Commissioner to conduct and report on payment trend analyses using state data.
REQUIREMENT

Added a requirement for carriers to offer a 'meaningful opportunity' for good faith negotiations, including specific prohibitions on standalone amendments and requiring group negotiation options for providers with the same employer.

Mandated that provider contract filings include a signed attestation from both the carrier and provider confirming negotiation requirements were met; filings without this attestation cannot be approved.

Prohibited contracts from including 'all-or-nothing' clauses (forcing providers to sign with multiple plans) or requiring providers to accept discounted rates for services under other insurance plans.

Added a prohibition on carriers penalizing providers who appeal adverse benefit determinations, including charging fees for appeals.

Removed the requirement for carriers to provide contract updates via email or non-secure portals, replacing it with a broader requirement to provide updates in a manner that does not require secure access.

Added a requirement for carriers to provide contract and payment policy updates in a manner that does not require access to a secure website or portal.

ENFORCEMENT

Authorized the Insurance Commissioner to impose fines of up to $5,000 per violation and issue corrective orders for section violations.

TIMELINE

Added a requirement for the Insurance Commissioner to analyze statewide claims data for payment trends and report findings to the legislature annually starting in 2027.

Changed the effective date of the act from January 1, 2027, to January 1, 2025, in the session header, though the new effective date for the act itself remains January 1, 2027.

FISCAL

Added a condition that the act becomes null and void if specific funding is not provided by June 30, 2025, in the omnibus appropriations act.

SCOPE

Removed the requirement for carriers to provide payment methodology 60 days in advance and replaced it with a requirement to provide a fee schedule in the same manner.

DEFINITION

Added a new definition for 'all-or-nothing clause' to clarify the prohibited contract term.

Floor votes · House Mar 8, 2025

How they voted

7523
Passed · 2 other
Total votes 100
Mar 8, 2025
D Democratic61
57 Yea 3 Nay 1
93% Yea
R Republican39
18 Yea 20 Nay 1
51% Nay
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
31
Key actions
13
Committee
16
Feb 4, 2026
Committee
Referred to Rules 2 Review.
lower
Feb 4, 2026
Lower · Passed
Minority; without recommendation.
lower
Feb 4, 2026
Lower · Passed
Executive action taken in the House Committee on Health Care & Wellness at 1:30 PM.
lower
Jan 12, 2026
Committee
Referred to Health Care & Wellness.
lower
Jan 12, 2026
Lower · Passed
Rules Committee relieved of further consideration.
lower
Jan 12, 2026
Introduced
By resolution, reintroduced and retained in present status.
lower
Mar 27, 2025
Upper · Passed
Executive session scheduled, but no action was taken in the Senate Committee on Health & Long-Term Care at 8:00 AM.
upper
Mar 25, 2025
Upper · Passed
Public hearing in the Senate Committee on Health & Long-Term Care at 10:30 AM.
upper
Mar 8, 2025
Lower · Passed
Floor amendment(s) adopted.
lower
Feb 28, 2025
Committee
Referred to Rules 2 Review.
lower
Feb 27, 2025
Lower · Passed
Minority; without recommendation.
lower
Feb 27, 2025
Lower · Passed
Minority; do not pass.
lower
Feb 27, 2025
Lower · Passed
Executive action taken in the House Committee on Appropriations at 9:00 AM.
lower
Feb 25, 2025
Lower · Passed
Public hearing in the House Committee on Appropriations at 1:30 PM.
lower
Feb 21, 2025
Committee
Referred to Appropriations.
lower
Feb 21, 2025
Lower · Passed
Minority; without recommendation.
lower
Feb 21, 2025
Lower · Passed
Executive action taken in the House Committee on Health Care & Wellness at 8:00 AM.
lower
Feb 4, 2025
Lower · Passed
Public hearing in the House Committee on Health Care & Wellness at 1:30 PM.
lower
1 primary · 4 co-sponsors

Sponsors