If my hospital has a charity program, can I tell them I don't have health insurance?...even though I do?

Question

Is it against the law to do this in Louisiana? Because I'm in college and I work part-time (they don't offer benefits), and I had a little individual plan. When I went to the hospital, the woman at the desk ripped the card out of my hand, and said that if I have insurance I can't get on the charity program. So, the next day I cancelled the policy even though I'm stuck with the bill ($5000 deductible). Now, I'm thinking about getting the plan back to prevent bankruptcy in the event of an emergency. However, when I go back to the hospital...would it be illegal for me to tell them that I don't have health insurance (even though I do), that way I can be on the charity program that they put me in since i went back which is free care.

Answer 1

If you have a $5,000 deductible and cannot afford the deductible, you truly do not have insurance. If you cannot afford to get something with a lower deductible I would seriously consider dropping the insurance so that you do not have the moral quandary about lying. In the event of an emergency (as long as you are low income) you should be able to qualify for medicaid and therefore avoid bankruptcy.

Also get the hospital involved in discounting that $5,000 bill that you have from your prior illness and get on a small payment plan maybe $25 a month (just make sure you don't miss a payment without calling first).

I believe you should concentrate on your college education so that you can eventually get a better paying job with full benefits.

Good Luck.

Answer 2

Wouldn't that defeat the purpose of having the insurance policy to begin with?

Keep in mind that the only expenses that apply towards your deductible are expenses that are billed to and processed by your insurance company. If you get care from the hospital and they don't bill your insurance company, nothing that you pay them will count towards your deductible.

If you end up needing emergency care, you'll owe the entire $5,000 deductible before the hospital would pay anything...even if you already paid money to the hospital for previous treatment b/c those previous treatments didn't count towards your deductible.

Additionally, when your insurance company processes a claim (even if the entire claim is part of your deductible), you still get the benefit of the insurer's rate with the hospital vs. the uninsured rate. Unless you know for sure that this "charity" program at your hospital involves free care or a rate that's below the discount they give the insurance company, you're still better off having the claim applied to deductible and getting the negotiated rate.

Answer 3

I am afraid I dont know if it is illegal however I do know that if you let the hospital know that you can not afford the bill they can usually help.. Many times. they have people that donate money to the hospital just for instances that someone cant pay. My grandmother has Medicaid but due to her fixed income she was able to get help after receiving a bill for over $10000.. The hospitals donation program paid the balance. Good luck.

Answer 4

Can you say "FRAUD".... It looks like you can.