Legal Professionals Ensure Compliance as “No Surprises Act” Mandates Gag Clause Prohibition Attestation

In regards to the compliance with the “gag clause prohibition” formed by the “No Surprises Act” that has been included in the Consolidated Appropriations Act of 2021 (CAA), certain group health plans and health insurance issuers are required to submit an attestation to the U.S. Department of Health and Human Services (HHS) on or before Dec. 31, 2023. The CAA specifically bans plans and issuers from restricting access to specific pieces of information, while also mandating plans and issuers to attest to compliance with this gag clause.

This announcement, as give by Bond Schoeneck & King PLLC, highlights the essential role large corporations and law firms have in ensuring that information is not only accessible, but that any imposed restrictions are carefully examined and enforced as per these new regulations.

Court rulings in the recent past have highlighted issues that arise from not complying to these regulations, placing higher importance on awareness and strict adherence within corporate legal teams. This places the responsibility on the legal professionals to maintain a fine balance between offering comprehensive insurance coverage to employees while conforming with legal protocols.

The legal community must remain cognizant of these mandates and regulations that corporate legal teams need to address. Failure to comply with these changes could result in legal penalties, making it imperative that legal professionals stay informed and proactive throughout this procedural change.