NC Assembly Clears Ban On Favored Nations In Health Deals

Law360, New York (April 30, 2013, 10:02 PM EDT) -- North Carolina lawmakers signed off on legislation Tuesday that would bar insurers from contractually requiring health care providers to guarantee them the lowest rate on services, banning the kind of most-favored nation clauses that have attracted antitrust ire in recent years.

Though the bill does not identify the controversial clauses by name, it bans contracts between health insurers and care providers from mandating that the insurer get the best possible rate on services. The legislation was ratified by both houses Tuesday and sent to Gov. Pat...
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