Hospitals feel the heat over anticompetitive contracting
By Adriel Bettelheim
Published on March 31, 2026.
The US government is cracking down on hospital contracting practices that it alleges are anticompetitive and drive up health care costs. The Justice Department has sued the New York-Presbyterian hospital system, alleging that contracts were written that forced its facilities to be in their most favored tier and prevented insurers from offering incentives to patients seeking lower-priced alternatives. This follows a lawsuit by OhioHealth alleging that these contracts force patients to pay higher prices. The Federal Trade Commission has also launched a new health care task force investigating allegations of antitrust and anti-competitive conduct in many healthcare markets. Almost two dozen states have anti-competition contracting restrictions on providers and insurers, and DOJ is joining states, employers, and labor unions that have filed similar lawsuits against health systems. The high-profile lawsuits come as health care affordability looms large in the lead-up to the midterm elections.
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