Raised Bill No. 411 Summary

• Insurance Department must adopt regulations establishing minimum amounts of medical debt that consumer reporting agencies can report to credit scores for both insured and uninsured residents receiving hospital treatment.

• Medical debt reporting is prohibited for residents determined to be catastrophically disabled or with gross household income below geographically adjusted limits qualifying them for cost-free medications or beneficiary travel.

• Only medical debt classified as currently not collectible—after the Insurance Department exhausts collection efforts including administrative offset and enforced collection—may be reported.

• Minimum debt threshold is $25 or higher as prescribed by the Insurance Department, with exceptions for debt involving fraud, misrepresentation, or bad faith by the debtor.

• Effective date is October 1, 2022.