About Medical Debt
California Leads on Protecting Patients from Medical Debt
Californians needing hospital care have multiple layers of protection from medical debt caused by a lack of health insurance or “underinsurance,” where insurers cover only some of the expenses and leave large amounts to be paid by patients.
The state has the highest standard in the nation for hospital financial assistance for patients — including both charity (free) care and discounted care, and multiple requirements that safeguard patients from debt.
Reminder: Documents that Create Medical Debt Must Include Specific Language
What’s happening: Beginning July 1, hospitals must include specific language on any document that indicates the patient agrees to pay the hospital’s bill, per Senate Bill (SB) 1061 (2024). Failure to include the required language means the hospital cannot enforce the debt.
Infographic: California Is a National Leader In Protecting Patients from Medical Debt
