; and (C) the impact of State surprise billing laws and network adequacy standards on participation of health care providers and facilities in provider networks of group health plans and of health insurance coverage offered by health insurance issuers in the group or individual market. 12. Transitional rule allowing deduction for surprise billing expenses below AGI floor (a) In general Section 213 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection: (g) Transitional rule allowing deduction for surprise billing expenses below AGI floor (1) In general In addition to the deduction allowed by subsection (a) for any taxable year, there shall be allowed as a deduction an amount equal to the lesser of— (A) the excess of— (i) the surprise billing expenses which would be allowed as a deduction for such taxable year under subsection (a) if such subsection were applied without regard to the limitation based on the taxpayer’s adjusted gross income, over (ii) $600, or (B) the applicable percentage of the taxpayer’s adjusted gross income. (2) Surprise billing expenses For purposes of this subsection, the term surprise billing expenses means expenses paid for medical care of an individual who is a participant, beneficiary, or enrollee in a group health plan or in group or individual health insurance coverage offered by a health insurance issuer (as such terms are defined in section 2791 of the Public Health Service Act), if— (A) benefits are provided for such medical care under such plan or coverage, and (B) such medical care— (i) is furnished by a provider without a contractual relationship with such plan or coverage with respect to the furnishing of such medical care during a visit at a facility with a contractual relationship with such plan or coverage, or (ii) is furnished in an emergency department of a hospital or an independent freestanding emergency department. (3) Applicable percentage For purposes of this section, the term applicable percentage means, with respect to any