SB 1469, An Act Concerning Medical Debt

TESTIMONY OF THE CONNECTICUT HOSPITAL ASSOCIATION
SUBMITTED TO THE HUMAN SERVICES COMMITTEE

Tuesday, March 11, 2025

The Connecticut Hospital Association (CHA) appreciates this opportunity to submit testimony concerning SB 1469, An Act Concerning Medical Debt. CHA opposes the legislation.

Connecticut hospitals and health systems care for patients, strengthen the state’s economy, and support vulnerable communities across the state. Every day, they work to improve healthcare access, affordability, and health equity. Even as they face ongoing challenges, hospitals provide world-class care to everyone who walks through their doors, regardless of their ability to pay. Hospitals also support an exemplary workforce as the largest collective employer in the state, contribute significantly to the state’s economy, and invest in their communities addressing social drivers of health.

SB 1469 proposes to modify Connecticut law so that a surviving spouse is not responsible for medical debt incurred for reasonable and necessary services provided by a physician, dentist, or hospital to a deceased spouse. The bill would eliminate the responsibility of the surviving spouse to pay for medical expenses incurred by a deceased spouse, creating an exception to the underlying statute which treats the payment for such things as medical care and housing as a joint spousal obligation.

We understand that the death of a spouse has an enormous impact on the surviving spouse and family and can create a new financial outlook for a family. In this regard, we emphasize that Connecticut hospitals have established comprehensive systems for screening patients for financial assistance and are generally flexible in reevaluating collection practices when patients’ circumstances change.

Connecticut hospitals have some of the most expansive financial assistance policies in the nation, in some instances providing assistance to individuals and families up to 550% of the federal poverty level — meaning an individual making approximately $86,000 a year may qualify for discounted care. Additionally, even prior to the state law enacted last year, Connecticut hospitals did not report medical debt to credit reporting agencies and have long supported current law that protects individuals’ homes and wages if they have healthcare debt.

Most recently, Connecticut hospitals have been working with the Lamont administration and Undue Medical Debt to identify and erase medical debt for thousands of Connecticut residents. No one should avoid or delay seeking medical care because of a concern of inability to pay, and medical debt should never limit an individual’s economic opportunity.

CHA stands ready to collaborate with the committee to ensure that any legislative changes to medical debt policy are practical, fair, and effectively support Connecticut families. We would welcome further discussions on how financial assistance programs can continue to meet the changing needs of patients and their families.

Thank you for your consideration of our position. For additional information, contact CHA Government Relations at (203) 294-7301.