Bill > HB1020

This bill establishes comprehensive protections for consumers regarding medical debt reporting in Maryland. The legislation redefines "medical debt" more broadly and prohibits consumer reporting agencies from creating or maintaining any consumer reports or files containing information about medical debt, regardless of when the debt was incurred. Consumer reporting agencies are specifically barred from including any adverse information related to medical debt or collection actions for medical debt in consumer reports. Additionally, the bill prevents any person from using medical debt information in a consumer report to determine a consumer's creditworthiness. Hospitals are now required to submit annual reports about debt collection practices and are restricted from reporting adverse information to consumer reporting agencies or filing civil actions against patients within 180 days of the initial bill. The law mandates that hospitals develop detailed policies for debt collection that include provisions like prohibiting debt sales, charging interest on self-pay patient bills before court judgment, and providing mechanisms for patients to request reconsideration of care costs. The bill also establishes guidelines for payment plans, requiring hospitals to offer installment options and allowing patients some flexibility if they miss payments. These protections aim to reduce the financial burden and credit damage caused by medical debt, with the provisions set to take effect on October 1, 2025.

Budget and Finance, Business and Industry

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB1020?ys=2025RS