President Biden Signs Executive Order Calling on Health and Human Services to Support Hospital Price Transparency Rule

On Friday, President Biden signed a pro-competition executive order that includes a provision calling on the Department of Health and Human Services (HHS) to support the hospital price transparency rule that took effect at the beginning of the year. This order is a major win for American consumers because it gives bipartisan presidential endorsement to the game-changing rule requiring hospitals to post their real prices, including their discounted cash and secret negotiated rates. The order gives HHS the ammunition it needs to increase enforcement of the rule, which has been marred with widespread noncompliance.

As PRA founder and chairman Cynthia A. Fisher told the Washington Post, “Biden’s executive order hands the torch to both [Health and Human Services Secretary Xavier] Becerra and Health and Human Services to boldly enforce the rules. It gives them the power to do what they need to do even if it means they need harsher penalties and stricter enforcement.” PRA recently sent a letter and one-pager to HHS with actionable steps to boost rule compliance.

Cynthia also released the following statement in response to the order:

President Biden's executive order requiring the Department of Health and Human Services to support the healthcare price transparency rules is a huge win for the American people who have a right to know the upfront price of their health care before treatment at any hospital in the country. It is our hope the President’s action will encourage the many hospitals who have yet to comply with the rule to do so, and now that the Biden administration has shown its unequivocal support for healthcare price transparency, we encourage the Department of Health and Human Services to consider stronger penalties for hospitals who have failed to comply six months after the rule took effect on January 1st.

This is a bipartisan issue, enjoying wide and deep support among all Americans. President Biden's order unleashes competition and gives power to consumers to drive down the costs of healthcare and coverage.