House Bill 1246, introduced in Maryland on February 12, 2025, aims to enhance transparency in healthcare costs for insured individuals. The bill mandates that health insurers and providers must inform enrollees about the maximum dollar amount of any discounts, financial assistance payments, product vouchers, or other out-of-pocket expenses that may affect their coinsurance, copayment, deductible, or out-of-pocket maximum. Additionally, the legislation requires notification of the expiration date for these financial aids.

A significant aspect of House Bill 1246 is its alignment with consumer protection laws. Any failure to comply with the notification requirements outlined in the bill would be considered a violation of the Consumer Protection Act, thereby providing a legal framework for accountability.

The bill is set to apply to all health policies, contracts, and plans issued, delivered, or renewed in Maryland starting January 1, 2026. This timeline allows insurers and providers time to adjust their practices to meet the new requirements.

While the bill has garnered support for its potential to empower consumers with clearer information regarding their healthcare costs, it may face scrutiny from some industry stakeholders concerned about the administrative burden of compliance. Experts suggest that increased transparency could lead to more informed healthcare decisions, potentially reducing overall costs for consumers in the long run.

As House Bill 1246 progresses through the legislative process, its implications for both consumers and healthcare providers will be closely monitored, with potential impacts on the broader healthcare landscape in Maryland.