Indianapolis

Indiana Governor Signs Groundbreaking Health Care Transparency and Fraud Prevention Bill

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Published on June 19, 2025
Indiana Governor Signs Groundbreaking Health Care Transparency and Fraud Prevention BillSource: Google Street View

In a move aimed squarely at alleviating the strain of medical expenses and bringing greater clarity into health care billing, Indiana's Governor Mike Braun has ceremonially signed into law a bill co-authored by State Rep. Tony Isa (R-Angola). The legislation, known as House Enrolled Act 1003, targets site of service billing standards and introduces several measures to empower patients with price transparency and the ability to make more educated choices regarding their health care.

Perhaps the most significant element of the newly signed law is its mandate that the state's non-profit hospitals must now adhere to strengthened site of service billing standards, which in turn is expected to protect patients from additional facility fees. "For too long, patients have been left in the dark when it comes to the cost of care," Isa stated, as reported by Indiana House Republicans. In a concerted effort to bring down health care costs, the law also requires laboratories and diagnostic imaging centers to publicly post their service prices, providing patients with itemized bills and service codes to better compare costs.

The act takes additional steps toward transparency by stipulating that good faith estimates for health care services must be provided at least two business days before the services are scheduled to be delivered. This provision is designed to give patients a clearer understanding of their impending financial obligations and to avoid the prevalent issue of surprise medical billing.

Fighting fraud is also a key component of the legislation. Indiana's Medicaid Fraud Control Unit (MFCU) will see an enhancement in authority to closely investigate provider, insurer, and billing fraud. The Attorney General's office is set to enter into data-sharing agreements with other state agencies to augment fraud prevention efforts. Moreover, MFCU investigators will now be designated as law enforcement officers, which should ideally grant them stronger enforcement powers. "The legislation strengthens the Medicaid Fraud Control Unit’s authority to investigate provider, insurer and billing fraud," reads the official press release.

Additionally, the bill enforces Indiana’s Right to Try law further, widening the gateway to experimental treatments for patients with life-threatening conditions, and also pushes for increased transparency in accessing medical records.