Pennsylvania’s hospitals have a long history of addressing charity care and financial aid responsibilities through their health care missions.

The Hospital & Healthsystem Association of Pennsylvania (HAP) recently provided its member hospitals with a comprehensive set of guidelines addressing charity care, financial aid, and collection practices, taking that commitment to a new level.

The guidelines incorporate key elements of Act 77 of 2001 (Tobacco Settlement Act) and Act 55 of 1997 (Institutions of Purely Public Charity Act), as well as federal tax exemption requirements.

The charity care guidelines flow from five key principles articulated by HAP’s CFO Advisory Group, Committee on Public Payor Policy, Trustee Leadership Steering Committee, and Board of Directors:

1. Concern over a hospital bill will never prevent any individual from receiving emergency health services. Hospitals will communicate this message clearly to prospective patients and to local community service agencies, and make it clear that emergency services will be provided without regard to ability to pay.
2. Hospitals will assist patients in obtaining health insurance coverage from privately and publicly funded sources whenever appropriate.
3. Hospitals will have charity care and financial aid policies and practices that are consistent with their missions and values, and with federal and state law, and that take into account each individual’s ability to contribute to the cost of his or her care, as well as the hospital’s financial ability to provide the care.
4. Financial aid policies will be clear, understandable, and communicated in a manner that is dignified and in languages appropriate to the communities and patients served. These policies will be made readily available to prospective and current patients and to the community at large.
5. Debt collection policies-by both hospital staff and external collection agencies-will reflect the mission and values of the hospital, and will be monitored carefully to avoid unintended consequences.

The guidelines also provide hospitals with tips for updating their financial aid policies; developing plans to communicate such policies to patients; identifying appropriate staff to administer the policies; and administering the policies fairly, respectfully, and consistently.

More than 95 Pennsylvania hospitals and health systems (45%) have already joined with more than 3,300 hospitals nationwide in demonstrating the commitment to provide charity care.

HAP encourages Pennsylvania hospitals and health systems to also support the AHA’s confirmation of commitment , which is consistent with HAP’s guidelines.

Charity Care and Financial Aid Guidelines for Pennsylvania Hospitals 12 Page(s) / 184.84 Kb - Download time approximately 1.7 secs on a 1.0 mb connection Adobe Acrobat - Download a viewer for this attachment - How to Download

AHA Hospital Billing and Collection Practices Principles and Guidelines Confirmation of Commitment 1 Page(s) / 84.70 Kb - Download time approximately 0.8 secs on a 1.0 mb connection Adobe Acrobat - Download a viewer for this attachment - How to Download

Communication Guidelines on Charity Care and Financial Aid 2 Page(s) / 82.93 Kb - Download time approximately 0.8 secs on a 1.0 mb connection Adobe Acrobat - Download a viewer for this attachment - How to Download

Hospital Talking Points: Institute for Health and Socio-Economic Policy Study Linking Hospital Charges to Hospital Profits 2 Page(s) / 31.73 Kb - Download time approximately 0.3 secs on a 1.0 mb connection Adobe Acrobat - Download a viewer for this attachment - How to Download

UPMC Charity Care Complaint Dismissal 10 Page(s) / 432.01 Kb - Download time approximately 4.1 secs on a 1.0 mb connection Adobe Acrobat - Download a viewer for this attachment - How to Download

West Penn Allegheny Charity Care Complaint Dismissal 10 Page(s) / 374.97 Kb - Download time approximately 3.5 secs on a 1.0 mb connection Adobe Acrobat - Download a viewer for this attachment - How to Download

Hospitals Caring For Communities

The Charity Care Class Action Litigation: What it Might Mean to Your Institution (Post & Schell Attorneys at Law)

The Patient Friendly Billing® project offers information that can help you review your hospital’s own charity care and financial aid policies and practices-including a report on discounting and collection practices issues for patients with limited ability to pay and a worksheet for reviewing financial assistance policies

What May Arrive in Tomorrow's Mail?: An Analysis of Class Action Lawsuits Concerning Hospital Billing of Uninsured Patients (Duane Morris LLP, Philadelphia)