California instates law against balance billing practices

A new California law targeting surprise out-of-network medical bills is effective July 1, reports Kaiser Health News.

Here are four things to know about the legislation.

1. Patients would only be responsible for in-network cost sharing under the law. This means when patients visit an in-network facility, they couldn't receive out-of-network bills from providers.

2. Under the law, however, out-of-network providers can bill patients for out-of-network rates if the patient voluntarily agrees via signature at least 24 hours before receiving care, Betsy Imholz, director of special projects for Consumers Union, told KHN.

3. Patients who receive non-emergency services July 1 or after are covered under the law, according to the report.

4. The report notes Californians with private health insurance plans regulated by California's managed healthcare and insurance departments are covered under the law, but does not cover people with employer-sponsored insurance plans regulated by the U.S. Department of Labor.

Read more about the law here.

 

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