19-03-2025
Lawmakers considering a bill requiring hospitals to write off or reduce patient debt
The Brief
The Affordable Care Act requires hospitals to adopt charity care policies, but many fail to inform patients about these options effectively.
Tamara Robinson faced a $30,000 medical bill after an eight-day hospital stay, despite having insurance, highlighting the issue of medical debt.
Jared Walker, founder of Dollar For, advocates for state laws to ensure hospitals screen patients for financial assistance programs before sending them to collections.
What we know
A federal law, the Affordable Care Act, mandates that most hospitals adopt charity care policies. However, many hospitals are reportedly failing to adequately inform patients about these options.
The backstory
In 2021, Tamara Robinson experienced severe insomnia due to COVID-19.
"I had severe insomnia; I didn't sleep for like a year and a half," she said. "That was the darkest time of my life. I've never been through anything like that, nor do I wish it on anyone."
Robinson's blood pressure spiked, leading to her immediate hospitalization. Her eight-day hospital stay was mostly covered by insurance, but she was left with a $30,000 bill.
"Thirty thousand dollars on a teacher's salary—I didn't know what I was going to do," Robinson said.
Medical debt is the leading cause of bankruptcy in the United States, with an estimated one in four patients avoiding care due to financial constraints.
"The nonprofit hospitals, which comprise most in America, are tax-exempt," said Jared Walker, founder and executive director of the nonprofit Dollar For.
"So the deal is they don't pay taxes, and in exchange, they will provide community benefit."
Walker argues that hospitals often fall short in delivering community benefits and do not consistently offer financial assistance policies to support low- to middle-income patients.
He advocates for a state law similar to the federal one, requiring hospitals to screen patients for these programs, particularly before sending them to collections.
"A law that requires hospitals to screen patients for these programs, especially before sending them to collections," Walker said. "Their credit is ruined, and it's all based off a bill that should have been waived or reduced in the first place."
For more information, visit
