The Hospital Uninsured Patient Discount Act
Encyclopedia
The Hospital Uninsured Patient Discount Act is an Illinois
law that requires hospital
s in Illinois give most uninsured patient
s a discount
on their medical bills
. The act took effect on April 1, 2009.
It is the patient's responsibility to apply for this discount within 60 days of receiving their bill. The bill must contain information about how to apply.
patient can apply for this discount. The requirement to apply is that the person must be under 6 times the poverty line. For example: A patient in a family of four is eligible for this discount if the family's income
(and some asset
s) equals less than $132,300. The discount is based on a sliding scale
and a person eligible for the discount will receive a 70% discount for making 600% the poverty line, 75% for making 401-599% of the poverty line, 80% for making 301-400% of the poverty line, 90% for making 201-300% of the poverty line, and a 100% discount for making 200% or less of the poverty line. The poverty line is based on family size and income and some assets.
< The poverty line (at least in Illinois) is considered to be this:
. Another problem is that the bill does not address people who have jobs that require health insurance
plans through the company. The problem with this is that some people in Illinois have complained that if their job did not require them to get health insurance, than they would be able to have more coverage under this act, but since they have a Health Care plan through their company, they are required to pay for their plan and in the end, pay more of each hospital bill. So their health care plans actually cost them much more than not having one. This bill also requires that no hospital makes a patient pay more than 25% of their annual income within a 12-month period, some argue that 25% is too much to take, and that the bill should have made this percentage lower.
Illinois
Illinois is the fifth-most populous state of the United States of America, and is often noted for being a microcosm of the entire country. With Chicago in the northeast, small industrial cities and great agricultural productivity in central and northern Illinois, and natural resources like coal,...
law that requires hospital
Hospital
A hospital is a health care institution providing patient treatment by specialized staff and equipment. Hospitals often, but not always, provide for inpatient care or longer-term patient stays....
s in Illinois give most uninsured patient
Patient
A patient is any recipient of healthcare services. The patient is most often ill or injured and in need of treatment by a physician, advanced practice registered nurse, veterinarian, or other health care provider....
s a discount
Discount
Discounting is a financial mechanism in which a debtor obtains the right to delay payments to a creditor, for a defined period of time, in exchange for a charge or fee. Essentially, the party that owes money in the present purchases the right to delay the payment until some future date...
on their medical bills
Medical billing (United States)
Medical billing & coding is the process of submitting and following up on claims to insurance companies in order to receive payment for services rendered by a healthcare provider. The same process is used for most insurance companies, whether they are private companies or government-owned...
. The act took effect on April 1, 2009.
It is the patient's responsibility to apply for this discount within 60 days of receiving their bill. The bill must contain information about how to apply.
Implementation
Almost any uninsuredUninsured in the United States
The number of persons without health insurance coverage in the United States is one of the primary concerns raised by advocates of health care reform. According to the United States Census Bureau, in 2009 there were 50.7 million people in the US who were without health insurance...
patient can apply for this discount. The requirement to apply is that the person must be under 6 times the poverty line. For example: A patient in a family of four is eligible for this discount if the family's income
Income
Income is the consumption and savings opportunity gained by an entity within a specified time frame, which is generally expressed in monetary terms. However, for households and individuals, "income is the sum of all the wages, salaries, profits, interests payments, rents and other forms of earnings...
(and some asset
Asset
In financial accounting, assets are economic resources. Anything tangible or intangible that is capable of being owned or controlled to produce value and that is held to have positive economic value is considered an asset...
s) equals less than $132,300. The discount is based on a sliding scale
Sliding scale fees
Sliding scale fees are variable costs for products, services, or taxes based on one's ability to pay. Such fees are thereby reduced for those who have lower incomes or less money to spare after their personal expenses, regardless of income....
and a person eligible for the discount will receive a 70% discount for making 600% the poverty line, 75% for making 401-599% of the poverty line, 80% for making 301-400% of the poverty line, 90% for making 201-300% of the poverty line, and a 100% discount for making 200% or less of the poverty line. The poverty line is based on family size and income and some assets.
< The poverty line (at least in Illinois) is considered to be this:
- For 1 family member an annual income of less than $10,830 is below the poverty line.
- For 2 family members: $14,570 or less
- For 3: $18,310 or less
- 4: $22,050 or less
- 5: $25,790 or less
- 6: $29,530 or less
- 7: $33,270 or less
- 8: $37,010 or less
- 9: $40,750 or less
- 10: $44,490 or less
Problems
There are many problems that have been noticed about the bill. One of the most common critiques is that the bill requires a person to prove that they live in the state of Illinois, which can be difficult for the homelessHomelessness
Homelessness describes the condition of people without a regular dwelling. People who are homeless are unable or unwilling to acquire and maintain regular, safe, and adequate housing, or lack "fixed, regular, and adequate night-time residence." The legal definition of "homeless" varies from country...
. Another problem is that the bill does not address people who have jobs that require health insurance
Health insurance
Health insurance is insurance against the risk of incurring medical expenses among individuals. By estimating the overall risk of health care expenses among a targeted group, an insurer can develop a routine finance structure, such as a monthly premium or payroll tax, to ensure that money is...
plans through the company. The problem with this is that some people in Illinois have complained that if their job did not require them to get health insurance, than they would be able to have more coverage under this act, but since they have a Health Care plan through their company, they are required to pay for their plan and in the end, pay more of each hospital bill. So their health care plans actually cost them much more than not having one. This bill also requires that no hospital makes a patient pay more than 25% of their annual income within a 12-month period, some argue that 25% is too much to take, and that the bill should have made this percentage lower.