MENU Close
Close
  • Home
  • Services
  • Attorneys
  • Resources
  • News & Events
  • About Us
  • Contact Us
  • Join our Team
Search
Back
    Quick Links:
    Join Webinar
    Read News
    Our Location
    A
    Alternative Dispute ResolutionAntitrust & Trade RegulationAppellate Practice
    B
    Banking & Financial ServicesBankruptcy, Creditors’ Rights, and Financial RestructuringBeer LawBusiness Law
    C
    Cannabis LawConstruction LawCriminal Defense
    E
    Economic Development LawElder Care & Special Needs LawElectronic Discovery ("E-Discovery")Environmental LawEstate Planning and Administration & Wealth PreservationExecutive Compensation, Employment, ERISA, and Employee Benefits
    F
    Food, Beverage & HospitalityFranchise Law
    H
    Health Care & Life SciencesHealth Care ProvidersHigher EducationHospitals and Health Networks
    I
    ImmigrationInsurance CoverageIntellectual PropertyIntellectual Property Litigation, Arbitration, and Dispute ResolutionIntellectual Property Portfolio Strategy, Management & LicensingInternational BusinessInternet Law
    L
    Labor & EmploymentLiquor Law, Licensing, Manufacturing, and DistributionLitigation
    M
    Media LawMergers & AcquisitionsMunicipal Law
    N
    Non-Profit Law
    P
    Patent Preparation and ProsecutionPharmaceutical / Medical Devices / Pharma ServicesProducts and Consumer Liability DefenseProfessional LiabilityPublic Utilities
    R
    Real Estate, Finance, and Land Use
    S
    SecuritiesSolar Energy
    T
    TaxationTelecommunicationsTrademark & Copyright Protection & Enforcement
    V
    Venture Tech & Emerging Growth Companies
    W
    White Collar Investigations & DefenseWorkers’ Compensation
    • New Jersey
    • New York
    • Pennsylvania
    • Blogs
    • Articles
    • Podcasts
    • COVID-19 Resources
    • News
    • Events
    • Webinars
    • About Us
    • Delivering Value
    • Diversity & Inclusion
    • Meritas

    New Jersey

    400 Crossing Boulevard
    8th Floor
    Bridgewater, NJ 08807
    Phone:(908) 722-0700
    Fax:(908) 722-0755

    28 Valley Road
    Suite 1
    Montclair, NJ 07042

    New York

    7 Times Square
    21st Floor
    New York City, NY 10036
    Phone:(212) 808-0700
    Fax:(212) 808-0844

    Pennsylvania

    515 West Hamilton Street
    Suite 502
    Allentown, PA 18101
    Phone:(610) 391-1800
    Fax:(610) 391-1805

    • What sets us apart
    • Attorneys
    • Other Professionals
    • Professional Development
    • Non-Discrimination Policy

    Categories

    Aging Asset Protection Elder Exploitation Estate Planning Guardianship Health Care Decision-Making Medicaid Medicare Social Security Special Needs Uncategorized Veterans
    Blogs > Peace of Mind > Crippling Cost of Medical Care...
    Member
    Shana Siegel
    Visit Profile

    Crippling Cost of Medical Care – Know Your Options and Rights

    Crippling Cost of Medical Care – Know Your Options and Rights

    The crippling cost of medical care continues to be a major issue for many Americans, disproportionately impacting seniors and individuals with disabilities. It is important to know your options and rights.

    Nonprofit Hospitals

    The Affordable Care Act did address the issue of medical debt, and provides some relief for patients seen at nonprofit hospitals. Under the Act, nonprofit hospitals must have a written Financial Assistance Policy (FAP) that applies to all medically necessary care provided by the hospital and by a substantially related entity. The FAP must be widely publicized and include:

     

    • Eligibility criteria for financial assistance and whether such assistance includes free or discounted care;
    • The basis of calculating amounts charged to patients;
    • The method for applying for financial assistance;
    • For a hospital facility that does not have a separate billing and collections policy, the actions that may be taken in the event of nonpayment;
    • If applicable, any information obtained from sources other than an individual seeking financial assistance that the hospital facility uses to presumptively determine that an individual is FAP-eligible; and
    • A list of any providers delivering care in the hospital facility that are not covered by the FAP.

    The FAP eligibility criteria are not regulated, except that they must be reasonable for the community. Therefore, unlike with Medicaid, there is no uniformity and no independent source to consult in order to see if a person is eligible. Typically, the FAP covers individuals who are not eligible for Medicaid.

    The FAP regulations require that the policy be easily accessible, specifically in plain language, available without a fee, and translated into any other language of which there are a significant number of speakers in the community.

    There are limits on the charge that can be made to FAP-eligible patients, even if they have not yet applied for financial assistance.  Nonprofits cannot charge FAP-eligible patients more than the “amount generally billed.” Before this law went into effect, some nonprofit hospitals were notorious for charging very high rates to indigent patients, ostensibly to discourage them from seeking medical care.

    Nonprofit hospitals are also required to contact patients to determine whether they are FAP-eligible before engaging in certain collection actions or denying care due to nonpayment.

    Credit Agencies

    The three largest credit reporting agencies — Experian, Equifax, and TransUnion — agreed in a settlement with state attorneys general to no longer report medical debts that are less than six months past due.  This gives individuals time to deal with insurance and/or hospital financial assistance programs.  The agencies also agreed to remove from credit reports any debts that are later paid by insurance.

    Medical Debt and Spouses

    A frequently-asked question is whether spouses are responsible for each other’s medical debts. The federal Equal Credit Opportunity Act expressly forbids creditors from requiring one spouse to cosign for the sole debts of the other. However, this does not end the inquiry. New Jersey has a common law rule holding spouses responsible for certain debts.  The rule states that where there is no agreement between a creditor and both spouses, a creditor may seek payment from the second spouse’s income and property only if: (1) the debt was incurred for “necessaries” for the spouse; and (2) the assets of the debtor spouse are insufficient to pay the debt.

    If you have any questions about this post or any other related matters, please feel free to email me at ssiegel@norris-law.com.
    Member
    Shana Siegel
    Visit Profile

    Related Posts

    New Federal Standards Proposed for Minimum Nursing Home Staffing NJ Veterans Have New Protections When Applying for VA Benefits The Powers That Shouldn’t Be: Combating Fraud & Exploitation

    Share

    Similar Posts

    September 13, 2023
    NJ Veterans Have New Protections When Applying for VA Benefits
    NJ Veterans Have New Protections When Applying for VA Benefits
    January 26, 2023
    Medicaid Disenrollment’s Are Coming, But There Is Still Time to Fix Eligibility
    Medicaid Disenrollment’s Are Coming, But There Is Still Time to Fix Eligibility
    January 10, 2023
    Ten Most Common Myths about Medicaid
    Ten Most Common Myths about Medicaid

    Helpful links

    • About Us
    • News
    • Services
    • Blogs
    • Attorneys
    • Articles
    • (COVID-19)
    • Events
    • Join our Team
    Connect

    Connect with Us

    • LinkedIn
    • Facebook
    • Twitter
    • Instagram
    • Youtube

    Join our growing team

    We are looking for quality attorneys to help us do more for our clients. At Norris McLaughlin, each attorney has the same opportunity to succeed whether you’re at the beginning of a career or pinnacle of the profession.

    Learn More

    Subscribe to our content

    Receive timely legal information delivered to your inbox

    This field is for validation purposes and should be left unchanged.
    © , Norris McLaughlin, P.A., All Rights Reserved. Attorney Advertising.
    VIEW OUR DISCLAIMER,  TERMS OF USE,  AND PRIVACY POLICY

    We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume you consent to our cookie policy. Learn more