A new law in California prohibits hospitals from overcharging the uninsured. Consumer groups say the measure should help reduce the number of people stuck with unaffordable medical bills. KPBS Reporter Kenny Goldberg has the story.
Since 2005, California hospitals have operated under voluntary guidelines regarding the uninsured. But critics say too many facilities still overcharge patients. Under the new law, hospitals can charge the uninsured no more than what the Medicare program pays for the same service. Families of three who earn up to $58,000 a year are covered by the measure.
Jerry Flanagan is with the Foundation for Taxpayer and Consumer Rights.
Flanagan: It protects patients who are the most vulnerable in our healthcare system from being gouged, and protects them also from being hounded by credit bureaus.
The law requires hospitals to post notices of the new billing policies. Hospitals must also inform patients of their rights in all bills.
Kenny Goldberg, KPBS News.
