New California rule aims to limit health care cost increases to 3% annually

A new rule in California aims to limit health care price increases to just 3% each year. The Health Care Affordability Board approved the rule on Wednesday. It sets a statewide cost growth target of 3% each year. The Office of Health Care Affordability would gather data to monitor compliance. Doctors, hospitals and insurance companies that don't comply could face fines. The health care industry has supported a cost target. But they say 3% is too low and will be nearly impossible to comply with.