The Context of the Bill
House Bill 1058 was introduced in the South Dakota legislature with the intention of protecting patients from the negative impact of medical debt on their credit scores. The bill aimed to shield patients from the consequences of unpaid medical bills by prohibiting medical providers from reporting these debts to credit reporting agencies.
The Problem of Medical Debt
The Proposed Solution
The proposed solution to this problem is to bar medical providers from reporting unpaid medical bills to credit reporting agencies. This would prevent patients from having their credit scores negatively impacted by medical debt.
How the Bill Would Work
The Impact of the Bill
The impact of House Bill 1058 would be significant. By prohibiting medical providers from reporting unpaid medical bills to credit reporting agencies, the bill would provide a temporary reprieve for patients struggling with medical debt.
Potential Benefits
The Problem of Medical Debt
Medical debt is a significant issue in the United States, with many individuals struggling to pay their medical bills. According to a report by the Kaiser Family Foundation, in 2020, 43% of adults in the US had medical debt, with the average debt per person being around $1,300. This debt can lead to financial hardship, stress, and even bankruptcy. *Some of the most common causes of medical debt include:**
The Proposed Solution
House Bill 1210 aimed to address the issue of medical debt by limiting when hospitals could send bills to collection agencies. The bill would have restricted hospitals from sending bills to collection agencies for debts that were 120 days or older.
HB 1058A now goes to the full House. Story courtesy of the South Dakota Broadcasters Association.
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