October 8, 2024
You may have heard of a 3rd new law incorporated into the 2024 NY Budget impacting patient payments - and it is related to credit cards. We are awaiting further guidance from NYS, but what the states (full language below) is that a provider cannot refrain from treating an emergency or medically necessary patient for failing to present a credit card or sign a credit card authorization form. The law does not restrict collection of credit card authorizations, or regulate providers requiring credit cards on file for elective services. As with the previously discussed laws enacted regarding medical financing and consents, this third consumer impact seems intended to protect medically compromised patients from committing to third party debt financing in advance of necessary care.
Stay tuned for further guidance as it becomes available, and for now, all elective service patients and medically necessary patients can be presented a credit card authorization form, but for the latter category, not required to sign.
McKinney's General Business Law § 519-a
§ 519-a. Credit cards and payment for health care services
1. For purposes of this section, the term “credit card” shall have the same meaning as in section five hundred eleven of this article.
2. No hospital or health care provider shall require credit card pre-authorization nor require the patient to have a credit card on file prior to providing emergency or medically necessary medical services to such patient.
3. Hospitals and health care providers shall notify all patients about the risks of paying for medical services with a credit card. Such notification shall highlight the fact that by using a credit card to pay for medical services, the patient is forgoing state and federal protections that regard medical debt. The commissioner of health shall have the authority and sole discretion to set requirements for the contents of such notices.
(Added L.2024, c. 57, pt. O, § 5, eff. Oct. 20, 2024.)
Stay tuned for further guidance as it becomes available, and for now, all elective service patients and medically necessary patients can be presented a credit card authorization form, but for the latter category, not required to sign.
McKinney's General Business Law § 519-a
§ 519-a. Credit cards and payment for health care services
1. For purposes of this section, the term “credit card” shall have the same meaning as in section five hundred eleven of this article.
2. No hospital or health care provider shall require credit card pre-authorization nor require the patient to have a credit card on file prior to providing emergency or medically necessary medical services to such patient.
3. Hospitals and health care providers shall notify all patients about the risks of paying for medical services with a credit card. Such notification shall highlight the fact that by using a credit card to pay for medical services, the patient is forgoing state and federal protections that regard medical debt. The commissioner of health shall have the authority and sole discretion to set requirements for the contents of such notices.
Credits
(Added L.2024, c. 57, pt. O, § 5, eff. Oct. 20, 2024.)
Have a question for Jennifer? Email is best. You can reach her at Jennifer@Kirschenbaumesq.com.
