Researcher: SL Page 1 4/19/24
OLR Bill Analysis
sSB 395 (File 264, as amended by Senate "A")*
AN ACT CONCERNING THE REPORTING OF MEDICAL DEBT.
SUMMARY
This bill (1) prohibits Connecticut health care providers and hospitals
or entities owned by or affiliated with hospitals from reporting medical
debt to credit rating agencies for use in a credit report and (2) voids any
medical debt that is reported to credit rating agencies.
The bill relatedly requires the health care providers to have in their
contracts with collection entities for the purchase or collection of
medical debt a provision that prohibits reporting the debt to credit
rating agencies.
Under the bill, medical debt is an obligation or alleged obligation to
pay for received health care goods (e.g., products, devices, durable
medical equipment, and prescription drugs) or services (i.e., services for
the diagnosis, prevention, treatment, cure, or relief of a health condition,
illness, injury, or disease). It excludes debts charged to a credit card
unless the card is issued under a plan offered specifically to pay for these
goods and services.
*Senate Amendment “A” changes the definition of “medical debt,”
including by defining the types of health care services that could result
in medical debt under the bill. It also makes technical and conforming
changes.
EFFECTIVE DATE: July 1, 2024
COMMITTEE ACTION
Human Services Committee
Joint Favorable Substitute
Yea 17 Nay 4 (03/19/2024)