An Act To Encourage Competition By Requiring Independent Health Care Provider Cost-Of-Living Adjustments In Health Insurance Contracts

LD 1785 requires health insurance carriers in Maine to include annual cost-of-living increases in contracts with independent doctors and small practices (not affiliated with hospitals or groups of 25+ members). Starting January 1, 2026, these contracts must raise compensation based on the U.S. Bureau of Labor Statistics' Consumer Price Index (CPI-U), reflecting inflation. The bill prohibits carriers from reducing baseline reimbursement in 2025 to avoid future increases and bans fee cuts except for federal standard changes. It does not apply to dental or vision plans and affects only specific independent providers.