Senate Bill 120 Summary

• Directs the Health Care Commission to monitor value-based care delivery models and develop alternative payment methods that promote value-based care, with a goal of 60% of Delawareans in meaningful value-based payment models by 2025.

• Limits aggregate unit price growth for inpatient hospital, outpatient hospital, and other medical services to the greater of 2-3% or Core CPI plus 1%, depending on the year, through 2026.

• Requires health insurance carriers to spend minimum percentages of total medical care costs on primary care: 7% by 2022, 8.5% by 2023, 10% by 2024, and 11.5% by 2025.

• Establishes the Office of Value-Based Health Care Delivery to create affordability standards for health insurance premiums, develop mandatory minimums for payment innovations, and monitor carrier compliance with primary care spending requirements.

• Revises the Primary Care Reform Collaborative membership structure to reduce representation from professional organizations (from two to one member each from Medical Society of Delaware, Delaware Nurses Association, and Delaware Healthcare Association).