COVID-19, Health and Tax Provisions in End-of-Year Omnibus Bill

https://www.groom.com/resources/president-signs-covid-19-health-and-tax-provisions-in-end-of-year-omnibus-bill/?utm_source=vuture&utm_medium=email&utm_campaign=coronavirus

“Health Transparency

The Act includes additional reforms aimed at transparency and plan and issuer compliance. They include:

Removing Gag Clauses on Price and Quality Information. The Act prohibits plans and issuers from entering into provider contracts that bar, directly or indirectly, the disclosure of provider-specific cost and quality information. The provision also prohibits contractual arrangements that prevent plans from accessing de-identified claims information.

Disclosure of Broker/Consultant Compensation. The Act requires that brokers and consultants to group health plans disclose at the time of contracting any direct or indirect compensation that they will receive as a result of the services they provide to the plan. Issuers are required to disclose to individuals any direct or indirect broker compensation paid with respect to individual market coverage at the time of enrollment, and to report such information to the Secretary of HHS on an annual basis.

Strengthening Mental Health Parity Compliance. The Act requires that group health plans and health insurance issuers be able to provide to the Secretary of HHS, Secretary of DOL, or state insurance regulator, as applicable, within 45 days of enactment a detailed analysis regarding compliance with the Mental Health Parity and Addiction Equity Act’s (“MHPAEA’s”) nonquantitative treatment limitation (“NQTL”) rule. The Act further requires the Departments to develop a reporting process whereby this data is submitted to the Secretaries for evaluation of compliance.

Reporting on Pharmacy Benefits and Drug Costs. The Act requires group health plans and health insurance issuers to annually report to the Secretaries of HHS, DOL, and the Treasury, detailed information regarding plan spending, the cost of plan pharmacy benefits, enrollee premiums, and any manufacturer rebates received by the plan or issuer, including any impact on premiums.”