Attorney General Tong Urges Scrutiny Of Unaffordable Insurance Rates
For the first time, this year’s hearings will also include representatives from the hospitals and pharmacy benefit managers, an important development in understanding and addressing runaway health insurance costs.
Collectively, the plans cover approximately 224,000 people in
Tong said, “Too many
Tong continued, “These hearings this year are one of the first shots we’ve had to get insurers, hospitals, and pharmacy benefit managers in the same room to justify these skyrocketing costs, and to talk about what we need to do to make this affordable for
In his comments, Tong zeroes in on the issue of provider up-coding and the absence of scrutiny and oversight by insurers, leading to increased insurance costs as well as higher patient cost-sharing. The comments note three such examples from individuals who complained to the
Tong’s comments also take insurers to task for failure to negotiate fees on an itemized basis. Pushed by Tong, insurers conceded during the 2023 rate hearings that they do not negotiate the cost of individual procedures with hospitals and providers at all. Tong has continued to push insurers and state regulators to address the broken incentive structure and negotiation dynamics between insurers and healthcare providers that contribute to the ever-rising cost of healthcare in



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