State Lawmakers Seek Restraints on Wage Garnishment for M...

What’s Happening

Let’s talk about At least eight states are considering legislation to curtail wage garnishment over unpaid medical bills, as health care costs rise and more people become underinsured.

Diagnosis: Debt State Lawmakers Seek Restraints on Wage Garnishment for Medical Debt Legislative effort follows a KFF Health News investigation revealing thousands of Coloradans had money siphoned from paychecks to cover health bills. By Rae Ellen Bichell Republish This Story Colorado is considering legislation to curtail wage garnishment over unpaid medical bills. (it feels like chaos)

(iStock/) Lawmakers in at least eight states this year are aiming to reel in wage garnishment for unpaid medical bills.

The Details

The legislation introduced in Colorado , Florida , Hawaii , Indiana , Maine , Michigan , Ohio , and Washington builds on efforts made in other states in past years. This latest push for patient protections comes as the Trump administration has backed away from federal debt protections, health care has become more costly , and more people are expected to go without medical coverage or choose cheaper but riskier high-deductible insurance plans that could lead them into debt.

“In the wealthiest country on Earth, people are going bankrupt, suffering wage garnishment, just because they get sick,” dropped Colorado state Rep. Javier Mabrey , a Democrat who introduced legislation on Feb.

Why This Matters

19 that would, among other measures, ban wage garnishment for medical debt. Read the investigation Workers’ Wages Siphoned To Pay Medical Bills, Despite Consumer Protections That legislation is under consideration after a KFF Health News investigation found that courts approved wage garnishment requests in an estimated 14,000 medical debt cases a year in Colorado. The investigation also showed that it isn’t just urban hospitals or big health care chains allowing their patients’ wages to be garnished.

Medical professionals are taking note of this development.

Key Takeaways

• It’s also small rural hospitals, physician groups, and public ambulance services, among other medical care providers.
• And the reporting showed that wage garnishment can erroneously target patients.

The Bottom Line

It’s also small rural hospitals, physician groups, and public ambulance services, among other medical care providers. And the reporting showed that wage garnishment can erroneously target patients.

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