Virginia Senate Bill SB245

Virginia 2022 Regular Session

• Introduced: 1/10/22
• Refer: 1/10/22

Caption

Public hospitals; medical debt collection practices.

Impact

The bill intends to amend the Code of Virginia by establishing specific obligations for public hospitals, thereby enhancing the financial support offered to patients. By limiting the costs associated with medical debt and introducing clear guidelines, it seeks to make healthcare services more accessible and affordable. The inclusion of a Financial Assistance Ombudsman Office is particularly noteworthy as it provides patients with a dedicated resource to navigate their financial obligations and seek assistance.

Summary

SB245 introduces provisions to regulate medical debt collection associated with public hospitals in Virginia. It mandates that medical facilities must offer payment plans for individuals who incur debt due to medical treatment. These payment plans must be structured to ensure that no monthly payment exceeds five percent of the household's total monthly income, and the first payment is deferred for a minimum of 90 days post-treatment. The bill aims to improve the financial wellbeing of patients and prevent escalations in debt due to excessive charges or fees.

Contention

Debate surrounding SB245 is likely to focus on balancing the financial stability of medical centers with patient protections. Advocates argue that creating payment plans and eschewing late fees will safeguard vulnerable populations from financial ruin following medical emergencies. However, critics may raise concerns regarding the potential administrative burdens on hospitals and the feasibility of implementing such payment models. The requirement for translation services in multiple languages to accommodate non-English speaking patients also adds a layer of complexity in the implementation process.