Mich. Comp. Laws § 550.1400. Use of most favored nation clause in provider contract: The Nonprofit Health Care Corporation Reform Act – Michigan

Status: Enacted
Year Enacted: 2013
File: Download

Prohibits most-favored nations (MFN) clauses in a contract between a health insurance carrier and a health care provider. A most-favored nation clause is a type of contractual provision that requires that the provider give the health carrier a rate equal to or lower than the most favorable between the provider and any other health insurance carrier. A most-favored nation clause in a healthcare contract can prevent smaller insurance carriers with less market power from competing on price.

See definition code sections 550.1103 through 550.1108.

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