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The FTC is cracking down on hospital price transparency, sending warning letters to 24 of the nation's largest health systems. Chairman Andrew Ferguson made clear that compliance with CMS rules alone won't shield hospitals from FTC liability — and legal action is on the table. This comes as a new CMS final rule also aims to make pricing data easier for patients to access and use.
The Federal Trade Commission is turning up the heat on hospital price transparency, sending formal warning letters to 24 of the country's largest health systems. FTC Chairman Andrew Ferguson didn't mince words at a Monday press event: "Healthcare providers must disclose their prices to consumers and must do so starting today. If they do not, then the FTC will take them to court."
The letters make a critical distinction — CMS price transparency rules are described as "a regulatory floor," not a safe harbor. That means hospitals that technically comply with CMS requirements could still face FTC enforcement if their pricing disclosures are incomplete or misleading. For example, omitting physician or facility fees could be considered a deceptive marketplace practice under the FTC Act. The warning letters arrive alongside a new CMS final rule designed to make provider and payer pricing data more accessible and usable for patients.
By the Numbers:
Why it matters: With both the FTC and CMS tightening the screws simultaneously, hospitals face a dual enforcement landscape. Incomplete pricing disclosures aren't just a regulatory headache — they're now a potential legal liability that could reshape how health systems communicate costs to patients.