States Are Forcing Hospitals To Offer More People Financial Aid. In Oregon, It’s Working.
Oregon passed a law to require hospitals to proactively screen patients to see if they qualify for financial aid. Patients got immediate relief. Hospitals pushed to roll back the law following federal cuts to Medicaid and Affordable Care Act subsidies.
Oregon has implemented a new law requiring hospitals to proactively screen and provide financial assistance to patients, regardless of their ability to apply. This law, introduced by Democratic state Sen. Lisa Reynolds, took effect in July 2024 and has already led to a significant increase in the number of patients receiving aid.
In the early months, 64% of patients at Oregon Health & Science University’s hospital were automatically qualified for financial assistance, up from 12% previously. Spending on financial assistance by hospitals in Oregon more than doubled in their first full fiscal year under the law. Patients are now relieved from high healthcare costs, as they no longer have to worry about how to pay their bills alongside medical expenses.
The law has also resulted in hospitals spending a higher percentage of their operating expenses on free and discounted care, bringing them closer to the national average for nonprofit hospitals. Among those receiving more help are patients with health insurance, with OHSU’s spending on aid for insured patients reaching $39 million in the first year under the law.
Advocates argue that this approach is a promising tool to prevent medical debt, which affects millions of adults in the U.S. and can lead to skipping prescriptions and follow-up care.
Written by urgent.news from KFF Health News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
