The bigger picture

The price transparency rule is part of the Trump administration’s broader strategy to deregulate, increase market competition, reorient economic incentives and drive innovation within the healthcare industry. To view it in isolation misses the point, experts say.

The administration is trying to introduce “capitalism into healthcare,” said Delphine O’Rourke, a partner at law firm Duane Morris.

It’s supposed to work alongside a wide range of other policies to transform the healthcare delivery system:

■ Transparency: Starting with an executive order last summer, the Trump administration has targeted policies at hospitals, insurers and drugmakers to shine a light on secret prices in the healthcare industry.

■ Competition: Federal regulators have crafted a wide range of policies aimed at increasing competition among providers and payers, including site-neutral payment policies, expanding providers’ scope of practice under Medicare and enabling Medicare Advantage plans to compete on supplemental benefits.

■ Innovation: Policymakers pushed new rules and technical standards for health IT interoperability, information-blocking and telehealth expansion. In addition to driving innovation, the administration anticipates the changes will boost competition among providers by breaking down technical and logistical barriers.

■ Value: The administration is trying to accelerate the transition to value-based payment by developing new payment models like direct contracting and reforming physician self-referral and safe harbor regulations. It’s also steering seniors into Medicare Advantage plans by enhancing what type of benefits they can offer compared with traditional Medicare.