SB8 - An Act To Amend Title 6 Of The Delaware Code Relating To Medical Debt.

17 Co-Sponsors

This Act is the second substitute for Senate Bill No. 8. Like Senate Bill No. 8 and its first substitute, this Act protects patients from unfair debt collection practices for medical debt, including prohibiting large health care facilities from charging interest and late fees, requiring facilities to offer reasonable payment plans, limiting the sale of debt to debt collectors unless an agreement is made to keep protections in place, providing minimum time before certain collections actions may be taken, limiting liability for the medical debt of others, and preventing the reporting of medical debt to consumer credit reporting agencies for at least one year after the debt was incurred. Violations of the provisions of this Act are considered Prohibited Trade Practices and Consumer Fraud violations. Senate Substitute 1 for Senate Bill No. 8 differed from Senate Bill No. 8 as it required large health-care facilities to provide information to uninsured patients regarding eligibility and the application process for medical assistance. This information must be provided at the time of service or prior to discharge and again with each billing statement. It also created a minimum threshold for eligibility for payment plans, and it reduced the timeframe in which a bill under a payment plan may be first due. The first substitute also defined medical assistance and time of service, which were not defined in Senate Bill No. 8.