The Health Care Cost Growth Benchmark was established in 2012 to help control the growth of total health care expenditures across all payers, private and public, but was not intended to act as a spending cap. On March 16, 2022, the Health Policy Commission (HPC) reinforced this point during a Health Care Cost Benchmark hearing, yet health insurance carriers continue to use this benchmark as a defacto cap on reimbursements across many healthcare providers.

This legislation inserts a new limitation on the health insurance statute prohibiting the use of the Health Care Cost Growth Benchmark in health insurance contracts with providers.