I'm not sure that on its face that this makes much sense. It reminds me of the kids song "I don't know why she swallowed the fly." Fundamentally the problem i

I'm not sure that on its face that this makes much sense. It reminds me of the kids song "I don't know why she swallowed the fly." Fundamentally the problem is that prices are set by a market, but the market has some inherently unusual characteristics, and has become controlled by a series of government sanctioned cartels. With private insurance, your insurance contracts with some hospitals. If you go to a hospital that's not contracted, your insurance will pay what it deems "reasonable", and you have to pay the balance of whatever the hospital decides to charge you. With a law like this, the hospital would have to just take whatever the insurance company deemed to be the correct price. This would seem to incentivize insurance companies to have very low "reasonable" prices for out of network visits.