President Donald Trump is facing opposition from healthcare stakeholders as he prepares an executive order to improve price transparency in the industry, according to The Washington Post.
Earlier in May, The Wall Street Journal reported that the Trump administration is preparing an executive order to require that insurers in the private employer market and hospitals publicize the discounted rates they negotiate for care.
But healthcare lobbyists and policy experts familiar with the executive order preparation told the Post that Trump's move to mandate disclosure has spurred pushback from the industry and may not be part of the final version.
Tom Nickels, executive vice president for government relations and public policy of the American Hospital Association, said that rate disclosure "would have the ultimate anti-competitive effect," according to the Post.
Insurers also reportedly are opposed to disclosing negotiated rates.
The executive order, which could be announced by mid-June, is anticipated to make it easier for Medicare beneficiaries to get price estimates, and the order may also try to slow down hospital consolidation, an administration official told the Post.
According to The Wall Street Journal, supporters say requiring price and rate disclosure could lead to lower healthcare costs, but critics say it is unclear how many consumers would use price information to find lower-cost treatment.
Kristine Grow, spokesperson for America's Health Insurance Plans, told the Post, "This is bad transparency, because it is highly likely to cause prices to go up for everyone."
The executive order will not result in immediate change, according to the Post.
People familiar with the administration's plans told the publication the order would instead direct federal agencies to change rules.
Read the full report here.
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