SB 3, An Act Concerning Consumer Protection And Safety

TESTIMONY OF THE CONNECTICUT HOSPITAL ASSOCIATION
SUBMITTED TO THE GENERAL LAW COMMITTEE

Wednesday, March 12, 2025

The Connecticut Hospital Association (CHA) appreciates this opportunity to submit testimony concerning SB 3, An Act Concerning Consumer Protection And Safety. CHA supports the bill and recommends the adoption of clarifying language set forth below.

Connecticut hospitals and health systems care for patients, strengthen the state’s economy, and support vulnerable communities across the state. Every day, they work to improve healthcare access, affordability, and health equity. Even as they face ongoing challenges, hospitals provide world-class care to everyone who walks through their doors, regardless of their ability to pay. Hospitals also support an exemplary workforce as the largest collective employer in the state, contribute significantly to the state’s economy, and invest in their communities addressing social drivers of health.

Section 1 of SB 3 seeks to create specific price transparency expectations for all businesses, with an emphasis on a business stating an accurate “fee, charge or cost” that a person would be “required to pay in order to purchase, lease or otherwise receive” a good or service.

The bill identifies several specific situations for which businesses would be exempt from providing the price information. These exemptions include when the fee, charge, or cost “cannot feasibly be calculated in full when the price for such good or service is first advertised or displayed,” but then the bill goes on to give the limited example of “shipping and delivery” as variables that are unknown. That limitation in the examples makes the bill confusing and draws into question what the exemption covers.

CHA supports common sense consumer transparency requirements and hospitals are already subject to federal price transparency requirements. Common sense includes that when the fees and charges for healthcare vary or are dependent on cost sharing, deductibles, or other features of health insurance coverage or plans, that a provider should be exempt from the law. This clarity is consistent with the bill’s goal but may not be sufficiently captured in the bill as drafted.

To ensure the language is clear on this point, we ask that a new subparagraph (H) be added to the exemptions listed in subsection (b), to read:

(NEW) (H) Apply to any transaction if such transaction involves healthcare when the fees, charges or costs may vary based on cost sharing, deductibles, copays or other features of a person’s health insurance coverage, health plan participation, or plan of care.

We believe this change not only helps set realistic expectations for businesses and consumers, but it is more important than ever to set common sense parameters on the type and level of information consumers are entitled to receive relating to their healthcare.

This is not a hypothetical concern. On February 25, 2025, President Trump issued an executive order titled “Making America Healthy Again by Empowering Patients with Clear, Accurate, and Actionable Healthcare Pricing Information,” which ostensibly seeks greater price transparency in healthcare. In reality, this federal oversight may result in mandates for hospitals and other providers to publish price and charge information that is actually inaccurate of what a patient ultimately will have to pay. Clarifying the realities in state law, using common sense, will help Connecticut maintain reliable consumer information.

Thank you for your consideration of our position. For additional information, contact CHA Government Relations at (203) 294-7301.