The Hospital Uninsured Patient Discount Act will cap hospital bills and offer discounts for uninsured patients in Illinois.
The new law, to be regulated by the Attorney General's office, is designed to prevent discriminatory pricing based on patients' insurance status.
"This law reflects one of the most aggressive efforts by any state in the country to address healthcare accessibility and affordability for the uninsured, and given today's economic conditions, it could not come at a better time, said Attorney General Lisa Madigan. "As unemployment rates climb and record number of Illinois families struggle financially, this new law limits the financial strain caused by an unexpected illness or a medical emergency so that necessary hospital services are no longer out of reach for uninsured patients."
The law states that hospital charges to the eligible uninsured cannot exceed the costs of the services plus 35 percent. The new law also places an annual cap on the amount that hospitals can collect from eligible uninsured patients, limiting the total amount to 25 percent of the patient's family income during a 12-month period.
"We welcomed the opportunity to work with the Attorney General and state legislators on this landmark law for the uninsured, said Illinois Hospital Association President Ken Robbins. "This shows how trusting and respectful relationships among key stakeholders and our elected officials results in positive accomplishments to help people. As a critical part of the healthcare safety net for the uninsured, Illinois hospitals have always known first hand the plight of the uninsured. Now with growing numbers of people becoming unemployed and uninsured in the current economic crisis, this law meets a social need that is more critical than ever."
Those eligible under the law must fall within 600 percent of the Federal Poverty Level ($132,300 for a family of four in 2008) at non-rural hospitals and 300 percent of the Federal Poverty Level ($66,150 for a family of four in 2008) at rural hospitals.