Credit Checks On Uninsured Patients
At Colorado Health Insurance Insider we have written before about predatory collection practices at hospitals around the country. And now hospitals can be added to the long list of organizations that will access your credit report at some point during your transaction.
Hospitals say that they pull credit reports on patients who do not have health insurance, as well as those who have high deductibles and out-of-pocket maximums. The stated purpose is to determine which patients should be pursued for payment (those whose credit files indicate they can afford it) and which patients could benefit from charity and medical bill assistance programs. If this is actually the case, then so be it.
But how do we know that hospitals would not use the information in the credit file to deny treatment or offer sub-standard treatment? If a patient with a credit score of 525 and no health insurance goes to the hospital complaining of chest pain, will he get the same level of care as a patient with the same symptoms who has health insurance and/or a credit score of 800?
Some would argue that since hospitals are in the collections business and often have to extensively pursue payment, they have every right to look at our credit files. Every hospital is on its own to collect payment for services rendered, either from health insurance carriers, the government (Medicare and Medicaid), or from patients. Creditors – including hospitals – are entitled to see credit reports. But is this how it should be? Should health care be purchased in the same manner that we buy cars and houses? I can see a slippery slope here, with hospitals offering varying interest rates – based on credit scores – to patients who need payment plans. And of course, those with the least ability to pay would end up with the highest interest rates and payments, since that’s how our financial system works.
No, hospitals should not be able to access credit reports. No, my physician should not use my social security number as my ID to get test results (I changed doctors by the way). The law should put hospitals in a tax tier system. We should return to the teaching hospital level with a nonprofit status. Drug companies should automaticallly be made to donate drugs to these level hospitals for research benefits. This same level hospital should be able to accept tax dollars for research as well as donatios from individuals. They could of course by university connected. The other hospitals should have different classifications – just like other nonprofits have different classifications – determining their level of care, ability, research and facilities. For instant, a rural hospital can not do certain types of procedures because they often are not up to the latest medical procedures – that is a different classification. They need to be TIERED with a regional hospital in an urban area that is certified. For example, in the rual hospital a breast biospy cost $8,000; the same surgery in a major city hospital only 200 miles away cost $1,500. The recup time was less, the medication was less, the procedure less invasive. TIER means – that level of hospital can not do this procedure. And, the ratings need to be made public. Inconvient for the consumer? Why in an urban area should three hospitals within a four block radius of one another all do the same procedures. Rather, one do heart, the other kidney, one cancer, etc. Focus the money, research, and talent. Hm….and the laws should be the same for all. A Catholic based hospital will not do any procedures related to birth control yet it will take a Jewish person’s money for cancer and provide a rabbi and provide a Baptist with a chaplain and take faith based money from the government. Hm, how about in the TIER classifications it states: religious based, not certified for any reproductive procedures because it chooses on religious tenets to deny equal access to all individuals, etc. Ok, so an institution can refuse. However, then it does not get the federal money. Sound complicated? Only at first setting up the TIER system. A physician I know says this will create private hospitals for the wealthy. Already have them…..money will always buy whatever anyone wants. Move on. The wealthy are not the ones abusing the health care system.