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Legislation for Creation of All-Payer Claims Database Approved in Indiana

The Indiana Senate and House has voted to approve Senate Bill 5, which would establish an All-Payer Claims Database and require hospitals, outpatient surgery centers and urgent care facilities to publish average prices of services to their websites, writes IBJ.com. The legislation requires the Indiana Department of Insurance to issue a request for information for an all-payer claims database by July 1 and a request for proposals by May 31, 2021.

The database is expected to provide cost information for specific procedures by facility name and allow individuals to shop around for the best price. Insurance companies would have to submit the data to the state, but the state cannot require companies in self-funded insurance plans to provide information. Those companies would be strongly encouraged to do so, though.

Senate Bill 5 aims to increase health care cost transparency for Hoosiers by creating an All-Payer Claims Database (APCD). Over 30 states have or are implementing an APCD, which is a large-scale database that systematically collects health-insurance claims for both services and medications. An APCD would give Hoosiers the ability to shop for the best-priced health care. APCDs do not collect any identifying information about individuals.

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