A group of physicians have filed a lawsuit against a new California law, which is designed to help patients avoid out-of-network charges. The group, the Association of American Physicians and Surgeons, filed the lawsuit in the U.S. District Court for the Eastern District of California in Sacramento.
Some doctors, particularly specialists like anesthesiologists, don’t have contracts because they don’t believe they’ll be sufficiently reimbursed by insurance companies. So when patients go to an in-network hospital, they can be hit with out-of-network charges for these specialists.
The group claims that this law will deny doctors due compensation for their labor.