Under the deal, patients with an annual household income of less than
$125,000 will be charged no more than the amount paid by the largest
insurer by revenue at each hospital. The agreement applies to uninsured
patients and to non-covered services for insured patients.
Other reforms include: patients unable to pay a bill once must be
offered a payment plan or charity care before hospitals can sue for
collection, and "zero tolerance" for abusive debt collection practices.
An estimated 400,000 Minnesota residents are uninsured
Earlier, Attorney General Hatch settled an investigation into the
billing and collection practices of a fifth system, Fairview Health
Services, Minneapolis, which agreed to reform its practices and give
uninsured patients discounts.
-- by Melanie Evans
The proposal follows a report by the attorney general's office that was
critical of billing and collection practices at seven-hospital Fairview
Health Services.
The report concluded: "The lack of attention by the board and the
executives to the illegal and highly inappropriate behavior of its staff
and agents in harassing patients is inappropriate and ought to endanger its
501(c)(3) status."
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