The News: On Thursday, State Senator Julian Bradley (R-New Berlin) and State Representative Bob Wittke (R-Caledonia) introduced the Price Transparency for Patients Act (LRB-1381). The Wisconsin Institute for Law & Liberty (WILL) supports this legislation because it sets clear, enforceable standards for hospital price transparency – ultimately empowering patients, laying out clear requirements for hospitals to share pricing with consumers. A press conference was held at the Wisconsin State Capitol to formally introduce the bill.

The Quote: WILL Policy Director, Kyle Koenen, stated, “In no other part of the economy are consumers expected to purchase a product or service without knowing the price. Yet that’s exactly how our healthcare system works. Hospital price transparency brings basic accountability to healthcare—empowering patients and restoring market principles to a system that desperately needs them. The legislature and Governor Evers should take swift action to pass this common-sense legislation.”

The Price Transparency for Patients Act ensures Wisconsin hospitals can no longer hide the ball when it comes to what patients owe. The bill requires hospitals to publish clear, accessible pricing information online for both common procedures and the full range of hospital services. This includes negotiated rates with insurers and cash prices—posted in a searchable format on the hospital’s website. If a hospital fails to comply, it can’t pursue debt collection against patients.

Background: According to a recent study from the RAND Corporation, Wisconsin’s hospital costs have risen to the 5th highest nationally. Families have become increasingly concerned about the price of healthcare, with 67% of Americans reporting that they worry about unexpected medical bills. Recent polling shows that 96% of voters nationwide and 90% of Wisconsin voters support greater healthcare price transparency as a means to control healthcare costs.

Price transparency is a tool that puts power back into the hands of patients— giving them an outlet to shop for services, compare prices and make more informed decisions about their health. Federal rules established under the first Trump administration and continued under the Biden administration already require hospitals to disclose pricing information. However, a recent review found that only 40% of sampled Wisconsin hospitals were fully compliant with the federal rules. In response, several states have taken bi-partisan action to codify price transparency requirements into state law, including Colorado, Texas, Ohio, Pennsylvania. The proposed legislation would build on those efforts.

In October of 2022, WILL released a policy report, “Empowering Patients: How Price Transparency Will Lower Healthcare Costs.” The report explains how healthcare price transparency works, and how research has found that it can lower costs for consumers. This recently introduced legislation closely mirrors the solutions outlined in this report.

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