Hospital financial assistance and charity care
Many hospitals will cut or cancel a bill for people who qualify, but you usually have to ask. Whether a hospital must offer financial assistance depends on how it is owned, and Medicare lists that for every hospital.
What each kind of hospital has to do
Nonprofit hospitals
Nonprofit hospitals must have a written financial assistance policy, accept applications for at least 240 days after the first bill, and cannot charge people who qualify more than insured patients pay for emergency or other necessary care.
For-profit hospitals
For-profit hospitals don't have to follow the federal nonprofit rules, but many offer self-pay discounts, payment plans or assistance, and some states require it. It is still worth asking.
Federal hospitals (VA and others)
This is a federal hospital (VA or military), which bills differently. Ask its own billing office.
Government-owned hospitals
Government-owned hospitals often run their own assistance programs, and some have to under state or local rules. It is worth asking for the policy.
The nonprofit rules in detail
- Under IRS rules, nonprofit hospitals accept applications for at least 240 days after the first bill after discharge.
- Nonprofit hospitals must wait at least 120 days after that first bill before extraordinary collection actions such as credit reporting or lawsuits.
- Eligible patients cannot be charged more than the amounts generally billed to insured patients for emergency or other medically necessary care.
Examples of how Medicare lists hospitals
Med Bill Check looks up the hospital on your bill and says how Medicare lists its ownership:
| Hospital | City | Medicare lists it as |
|---|---|---|
| St Luke's Regional Medical Center | Boise, ID | Voluntary non-profit - Private |
| Medical City Dallas Hospital | Dallas, TX | Proprietary |
| Parkland Health & Hospital System | Dallas, TX | Government - Hospital District or Authority |
| Massachusetts General Hospital | Boston, MA | Voluntary non-profit - Private |
| Cedars-Sinai Medical Center | Los Angeles, CA | Voluntary non-profit - Other |
| Jackson Health System | Miami, FL | Government - Hospital District or Authority |
How to apply
- Look up the hospital on the home page to see whether it is nonprofit.
- Ask for its Financial Assistance Policy, the plain-language summary and the application form, and what documents it needs.
- Ask the hospital to hold the account from collections while your application is considered.
- Keep a copy of everything you send, and note the date and the name of anyone you speak to.
The financial assistance letter asks for all of this.
If the hospital is not nonprofit
For-profit hospitals don't have to follow the federal nonprofit rules, but many offer self-pay discounts, payment plans or assistance, and some states require it. It is still worth asking. Ask for a self-pay discount or payment plan.
Sources
- CMS Hospital General Information (data.cms.gov/provider-data)
- https://www.irs.gov/charities-non-profits/billing-and-collections-section-501r6
Ownership is as listed in Medicare's Hospital General Information data. General information, not legal or financial advice.
Ask Med Bill Check yourself
Type the hospital's name and state to see how Medicare lists its ownership and what that means for financial assistance. Open Med Bill Check, free, no sign-up.
In Claude or any app that takes MCP connectors, add https://goodturn-mcp.pages.dev/medbillcheck/mcp and ask: “Is St. Luke's in Boise a nonprofit?”