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WASHINGTON — The nation’s largest hospital and physician lobbying groups are suing the Biden administration over regulations aimed at protecting patients from surprise medical bills.

At issue is a controversial mediation process that health care providers and insurers will use to settle payment disputes when patients receive emergency care, or care provided by out-of-network physicians at in-network facilities. Congress laid out the broad strokes of the idea in a bipartisan 2020 law banning surprise medical billing, but left it to the Biden administration to fully design the arbitration process.

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