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Governor Lamont Signs Law Prohibiting Medical Debt From Being Reported to Credit Rating Agencies [[link removed]]

Posted on May 9, 2024

(HARTFORD, CT) – Governor Ned Lamont today announced that he has signed legislation that enacts a law prohibiting health care providers and hospitals in Connecticut from reporting a person’s medical debt to credit rating agencies for use in credit reports. It also voids any medical debt that is reported to credit rating agencies.

“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.”

The bill was championed in the legislature by State Senator Matt Lesser (D-Middletown), who serves as co-chair of the Human Services Committee.

“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.”

The Connecticut Hospital Association, the federal Consumer Financial Protection Bureau, and several consumer advocacy groups submitted testimony to the legislature in support of the bill.

The legislation is Public Act 24-6 [[link removed]], An Act Concerning the Reporting of Medical Debt. It takes effect July 1, 2024.

Read on CT.gov [[link removed]]

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