The AMC/NOMA has learned that the Federal Trade Commission,
have sent a letter to House Insurance Chairman Dennis Stapleton, stating that the proposed
bill allowing doctors to negotiate jointly with HMOs and other insurers could result in
price fixing.
The FTC stated that the bill would also lead to higher medical costs without the
compensating benefit of increased access to improved health care. The commission said the
bill "poses a substantial risk of harm to Ohio citizens. By authorizing price fixing
by health care providers, the bill is likely to increase costs and reduce access to care,
without any assurance that the state's interest in promoting quality health care would be
furthered."
The bill, sponsored by Rep. Jim Trakas (R-Independence) and introduced with the assistance of the AMC/NOMA would allow groups of physicians to negotiate with insurers.
Trakas has indicated that he believes that the consolidation of the insurance market had created an imbalance of power in the health care marketplace. He said the proposed federal measure could right the balance by stopping the implementation of adverse patient care policies before they hurt or injure patients. The AMC/NOMA provided proponent testimony on HB 325 at two separate hearings before the House committee. It is not known at this time whether another similar bill will be introduced to the 125th General Assembly in 2003. The AMC/NOMA continues to strongly support joint negotiation legislation such as HB 325.