HARTFORD, CT—A new law prohibiting Connecticut health care providers and hospitals from reporting a person’s medical debt to credit rating agencies for use in credit reports will take effect July 1, 2024.
Public Act 24-6, An Act Concerning the Reporting of Medical Debt, also voids any medical debt reported to credit rating agencies. Governor Ned Lamont signed the bill, championed in the legislature by state Senator Matt Lesser, who serves as the Human Services Committee co-chair.
“When medical debt is included in a person’s credit report, creditors are making decisions based on a person’s medical history that is not necessarily representative of their financial responsibility and household finances,” Governor Lamont said. “By prohibiting medical debt from being reported to creditors, we are protecting patients who may have otherwise been apprehensive about seeking essential medical care.”
According to Lamont’s media release, the Connecticut Hospital Association, the federal Consumer Financial Protection Bureau, and several consumer advocacy groups submitted testimony to the legislature supporting the bill.
“Medical debt is not the result of poor financial decisions – it is the result of a health care system where many families are just one accident or one bad diagnosis away from ruined credit and all that comes with it,” Senator Lesser said. “With Governor Lamont’s signature, Connecticut now has some of the strongest consumer protections in the country. This was a priority for me this session and I am grateful to Governor Lamont and to Senate President Martin Looney for their strong support.”
–With Jay Domingo/PDM
