The ACA requires charitable (tax-exempt) hospitals to:
- Limit charges. The hospital may not charge individuals eligible for financial assistance more for emergency or other medically necessary care than the amounts generally billed to patients with Medicare or private commercial insurance.
- Establish and Disclose Financial Assistance Policies. Each hospital must establish and widely disclose a financial assistance policy that clearly describes the eligibility criteria for financial assistance and the method for applying for financial assistance.
- Abide by reasonable billing and collection requirements. A hospital is prohibited from engaging in certain collection methods (for example, sending a debt to a credit agency or garnishing wages) until it makes reasonable efforts to determine whether an individual is eligible for assistance under the hospital’s financial assistance policy.
- Perform a community health needs assessment. Each charitable hospital must conduct and publish a community health needs assessment at least once every three years – and disclose annually on its tax form the steps it is taking to address the health needs identified in the assessment.