MI SB0952

Prohibits hospitals from initiating or pursuing collection actions against patients for debts incurred when the hospital was not in material compliance with federal price transparency laws (42 USC 300gg-18(e)) on the date of service.

Allows patients to file civil actions to determine if a hospital was materially out of compliance with price transparency laws, and requires hospitals to halt collection actions while litigation is pending.

Requires hospitals found to be materially non-compliant to refund all payments made by the patient, pay a penalty equal to the total debt amount, dismiss any court action, cover attorney fees and costs, and remove negative credit reports.

Applies to hospitals licensed under Michigan's public health code immediately upon enactment, with critical access hospitals having a 6-month grace period to comply.

Does not prevent hospitals from billing patients or third-party payers for services or require refunds when no collection action is taken.