CA SB1276

Require hospitals and emergency physicians to negotiate payment plans with patients considering family income and essential living expenses, with a specified formula creating "reasonable payment plans" of no more than 10% of monthly family income if parties cannot agree.

Expand the definition of patients with "high medical costs" to include those receiving discounted rates from third-party insurance coverage, making them eligible for charity care and discount payment policies.

Require hospitals and emergency physicians to inform uninsured patients about eligibility for California Health Benefit Exchange, Medi-Cal, and other state or county-funded health coverage programs, and clarify that applying for multiple assistance programs simultaneously does not preclude eligibility for any single program.

Prohibit hospitals and collection agencies from reporting negative credit information or filing lawsuits for 150 days after initial billing for patients lacking coverage or with high medical costs, and ban wage garnishments and primary residence liens for patients in good faith payment negotiations.

Require collection agencies working for hospitals or emergency physicians to comply with the hospital or physician's reasonable payment plan definitions and standards.