Justice for Patients Act
This bill prohibits private health insurance plans from (1) including any mandatory arbitration provision for disputes related to the plan, or (2) limiting the ability of a plan enrollee to participate in a class action lawsuit related to the plan.  Further, the applicability of this bill to an arbitration agreement may not be determined by an arbitrator.
To prohibit the inclusion of mandatory predispute arbitration clauses 
    and clauses limiting class action lawsuits in health insurance 
                               contracts.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Justice for Patients Act''.

SEC. 2. PROHIBITION ON MANDATORY PREDISPUTE ARBITRATION AND LIMITATIONS 
              ON CLASS ACTION LAWSUITS.

    (a) PHSA.--Part D of title XXVII of the Public Health Service Act 
(42 U.S.C. 300gg-111 et seq.) is amended by adding at the end the 
following new section:

``SEC. 2799A-11. PROHIBITION ON INCLUSION OF CERTAIN REQUIREMENTS IN 
              HEALTH INSURANCE CONTRACTS.

    ``(a) Prohibition on Mandatory Predispute Arbitration.--A group 
health plan and group or individual health insurance coverage shall not 
include any predispute arbitration clause that requires the arbitration 
of claims under such plan or coverage.
    ``(b) Prohibition on Limitation of Class Actions.--A group health 
plan and group or individual health insurance coverage shall not 
include any limitation on the ability of an enrollee of such plan or 
coverage to engage in a class action lawsuit relating to the 
administration of such plan or coverage.
    ``(c) Applicability.--An issue as to whether this section applies 
with respect to a dispute shall be determined under Federal law. The 
applicability of this section to an agreement to arbitrate and the 
validity and enforceability of an agreement to which this section 
applies shall be determined by a court, rather than an arbitrator, 
irrespective of whether the party resisting arbitration challenges the 
arbitration agreement specifically or in conjunction with other terms 
of the contract containing such agreement, and irrespective of whether 
the agreement purports to delegate such determinations to an 
arbitrator.''.
    (b) ERISA.--
            (1) In general.--Subpart B of part 7 of subtitle B of title 
        I of the Employee Retirement Income Security Act of 1974 (29 
        U.S.C. 1185 et seq.) is amended by adding at the end the 
        following new section:

``SEC. 726. PROHIBITION ON INCLUSION OF CERTAIN REQUIREMENTS IN HEALTH 
              INSURANCE CONTRACTS.

    ``(a) Prohibition on Mandatory Predispute Arbitration.--A group 
health plan or a health insurance issuer offering group health 
insurance coverage shall not include any predispute arbitration clause 
that requires the arbitration of claims under such plan or coverage.
    ``(b) Prohibition on Limitation of Class Actions.--A group health 
plan or a health insurance issuer offering group health insurance 
coverage shall not include any limitation on the ability of an enrollee 
of such coverage to engage in a class action lawsuit relating to the 
administration of such plan or coverage.
    ``(c) Applicability.--An issue as to whether this section applies 
with respect to a dispute shall be determined under Federal law. The 
applicability of this section to an agreement to arbitrate and the 
validity and enforceability of an agreement to which this section 
applies shall be determined by a court, rather than an arbitrator, 
irrespective of whether the party resisting arbitration challenges the 
arbitration agreement specifically or in conjunction with other terms 
of the contract containing such agreement, and irrespective of whether 
the agreement purports to delegate such determinations to an 
arbitrator.''.
            (2) Clerical amendment.--The table of contents in section 1 
        of such Act is amended by adding at the end the following new 
        item:

``Sec. 726. Prohibition on inclusion of certain requirements in health 
                            insurance contracts.''.
    (c) IRC.--
            (1) In general.--Subchapter B of chapter 100 of the 
        Internal Revenue Code of 1986 is amended by adding at the end 
        the following new section:

``SEC. 9826. PROHIBITION ON INCLUSION OF CERTAIN REQUIREMENTS IN HEALTH 
              INSURANCE CONTRACTS.

    ``(a) Prohibition on Mandatory Predispute Arbitration.--A group 
health plan shall not include any predispute arbitration clause that 
requires the arbitration of claims under such plan.
    ``(b) Prohibition on Limitation of Class Actions.--A group health 
plan shall not include any limitation on the ability of an enrollee of 
such plan to engage in a class action lawsuit relating to the 
administration of such plan.
    ``(c) Applicability.--An issue as to whether this section applies 
with respect to a dispute shall be determined under Federal law. The 
applicability of this section to an agreement to arbitrate and the 
validity and enforceability of an agreement to which this section 
applies shall be determined by a court, rather than an arbitrator, 
irrespective of whether the party resisting arbitration challenges the 
arbitration agreement specifically or in conjunction with other terms 
of the contract containing such agreement, and irrespective of whether 
the agreement purports to delegate such determinations to an 
arbitrator.''.
            (2) Clerical amendment.--The table of sections for such 
        subchapter is amended by adding at the end the following new 
        item:

``Sec. 9826. Prohibition on inclusion of certain requirements in health 
                            insurance contracts.''.
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Justice for Patients Act
To prohibit the inclusion of mandatory predispute arbitration clauses and clauses limiting class action lawsuits in health insurance contracts.
Justice for Patients Act
Rep. Porter, Katie