The AHA joined by three other national organizations representing hospitals and health systems sued the federal government in federal district court, challenging last month's Centers for Medicare & Medicaid Services’ final rule mandating that hospitals disclose their privately negotiated rates with commercial health insurers.

“America’s hospitals and health systems stand with patients and are dedicated to ensuring they have the information needed to make informed health care decisions, including what their expected out-of-pocket costs will be,” said AHA President and CEO Rick Pollack. “Instead of giving patients relevant information about costs, this rule will lead to widespread confusion and even more consolidation in the commercial health insurance industry. We stand ready to work with CMS and other stakeholders to advance real solutions for patients.”

The lawsuit challenges the Department of Health and Human Services’ claim that it has statutory authority to require and enforce a provision that mandates public disclosure of individually negotiated rates between commercial health insurers and hospitals under the authority it has to compel disclosure of “standard charges.” Additionally, the lawsuit makes the argument that the provision violates the First Amendment by compelling the public disclosure of individual rates negotiated between hospitals and insurers in a manner that will confuse patients and unduly burden hospitals.

In addition to the AHA, the three association plaintiffs are the Association of American Medical Colleges, the Children's Hospital Association and the Federation of American Hospitals. The associations are joined in the suit by hospital plaintiffs: Memorial Community Hospital and Health System in Blair, Neb.; Bothwell Regional Health Center in Sedalia, Mo.; and Providence Holy Cross Medical Center in Mission Hills, Calif.

Related News Articles

Headline
During its Annual Membership Meeting April 14 in Washington, D.C., the AHA honored 2024 Board Chair Joanne Conroy, M.D., president and CEO of Dartmouth Health…
Headline
On April 15 at the AHA Annual Membership Meeting in Washington, D.C., AHA will present Nancy Howell Agee, CEO of Carilion Clinic, and Brian Gragnolati,…
Headline
CMS March 28 released an updated online validator tool that hospitals can use to test price transparency machine-readable files against the new format and data…
Headline
The Environmental Protection Agency March 26 presented AHA’s American Society for Health Care Engineering with a 2024 ENERGY STAR Partner of the Year —…
Headline
Jill Howard, R.N., senior consultant, Sheppard Pratt Solutions, is the 2024 chair of AHA’s Committee on Behavioral Health. Zelia Baugh, executive vice…
Headline
At its International Summit & Exhibition on Health Facility Planning, Design & Construction March 17-20 in San Diego, the American Society for Health…