New bill in California could make the fight against extremism of absurd medical bills easier

A bill moving through the California Legislature would make the process of qualifying for hospital financial assistance easier for some patients. Assembly Bill 1312 would require hospitals to check whether patients are eligible for charity care or discounted payments before sending them a bill.

Specifically, the proposal would require hospitals to presume people enrolled in means-tested programs, such as food stamps and cash assistance, are eligible for financial aid without having to apply. People who are experiencing homelessness or who qualified for assistance from the same hospital in the previous six months would be automatically eligible.

It would also require hospitals to screen patients for eligibility if they are uninsured, enrolled in Medi-Cal with a share of cost or in a Covered California health plan before they are charged.

“We think, especially in light of the cuts that are happening at the federal level, that more and more this is going to be something that is needed in our community and throughout the state,” Asm. Pilar Schiavo, a Santa Clarita Democrat and author of the bill, said during the most recent meeting of the Senate Health Committee. “This is a … way to ensure that people know upfront that these programs are available to them to prevent the kind of crushing medical debt that unfortunately can really ruin families and their financial situations.”

https://calmatters.org/health/2025/07/medical-debt-relief-hospitals/