Plans include a "duty of quality" for health boards and replacing community health councils with stronger bodies for patient voices.
Health Secretary Vaughan Gething said it would "ensure our health and social care services are fit for the future".
A consultation will now run for the next three months.
The plans in a White Paper were published jointly by Mr Gething and social services minister Rebecca Evans.
They also include:
It follows criticism by an influential international body - the OECD -  which claimed health boards and social care services in Wales were not working well enough together.
The OECD also wanted a better system of inspection and regulation within the NHS and social care in Wales.
Mr Gething said he believed the proposals would "make a real difference" by putting people at the centre of how health and care services are delivered.
"It will also enable health and social care organisations to work together and across boundaries to ensure they deliver the very best care for people across Wales," he added.
Proposals for new laws to improve the way the NHS and social care services are run and work together in Wales have been published by the Welsh Government.