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Battle lines are being drawn over a growing number of surprise billing proposals now under discussion in Congress.

Insurance and business groups sent a proposal to leaders in the House and Senate last week that would peg reimbursements to contracted market rates insurers pay physicians in a similar geographic area or tying payments to a percentage of Medicare reimbursements.

Hospital associations were quick to criticize the proposal saying, "it is essential that insurers and providers of care retain the ability to negotiate appropriate payment rates."

Hospitals are concerned about the government having the ability to set rates as "it could also create unintended consequences for patients by disrupting incentives for health plans to create comprehensive networks."

Click here for the proposal, and here for the hospital response.  Congress is holding its first hearing on this issue the first week of April, while a bipartisan group of senators is expected to produce its first legislative draft later in the month.

This article courtesy of Strategic Health Care.