S-0890.1

SENATE BILL 5579

BySenators Cleveland, Muzzall, and Valdez

AN ACT Relating to prohibiting health carriers, facilities, and providers from making any public statements of any potential or planned contract terminations unless it satisfies a legal obligation; and adding a new section to chapter 48.43 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1. A new section is added to chapter 48.43 RCW to read as follows:

(1) In the case of a provider contract, as defined in RCW 48.43.730, that is expiring by its own terms or for which one party has given notice to the other party of an intended termination in accordance with the terms of the provider contract, neither the provider, as defined in RCW 48.43.730, nor the carrier may make or cause to be made public statements, including by directly communicating with impacted individuals including enrollees and patients, regarding such expiration or termination, unless:

(a) Such disclosure is to satisfy a legal obligation; or

(b) The expiration or termination has already been disclosed publicly because of a legal obligation.

(2) The attorney general may enforce this section under the consumer protection act, chapter 19.86 RCW. For actions brought by the attorney general to enforce this section, the legislature finds that the practices covered by this section are matters vitally affecting the public interest for the purpose of applying the consumer protection act, chapter 19.86 RCW, and that a violation of this section is not reasonable in relation to the development and preservation of business and is an unfair or deceptive act in trade or commerce and an unfair method of competition for the purpose of applying the consumer protection act, chapter 19.86 RCW.

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