New Jersey passes surprise billing legislation: 3 things to know

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The New Jersey legislature passed legislation to address out-of-network billing transparency and create a third-party arbitration system to resolve surprise billing disputes, according to the American Hospital Association.

Here are three things to know about the legislation, which still requires a signature from Democratic Gov. Phil Murphy.

1. The legislature passed the Out-of-Network Consumer Protection, Transparency, Cost Containment and Accountability Act on April 12. Cathy Bennett, president and CEO of the New Jersey Hospital Association, said the passage is eight years in the making.

2. Ms. Bennett said the bill "addresses our two key priorities: protecting patients from surprise medical bills, and ensuring that hospitals and physicians are on a level playing field with insurance companies when it comes to negotiating fair payments for the care they deliver." She urged Mr. Murphy to sign the legislation.

3. The bill is sponsored by Assembly Speaker Craig Coughlin, D-Middlesex, and Sen. Joseph Vitale, also D-Middlesex.

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