AG James releases guidance on accessing hospital financial aid

ALBANY | New York Attorney General Letitia James has released guidance to help New Yorkers understand and exercise their right to financial assistance for hospital bills under New York's Hospital Financial Aid Law. All hospitals in New York state are required to offer financial aid to eligible patients who cannot afford their bills, but many New Yorkers are unaware of this protection or do not know how to apply for it. In new guidance released today, Attorney General James breaks down who qualifies for hospital financial aid, what the law covers, and how patients can apply for help paying their medical bills, as well as financial aid protections for immigrant patients. "No New Yorker should have to choose between their health and their financial security," said Attorney General James. "As federal cuts strip health coverage away from hundreds of thousands of New Yorkers, I urge anyone struggling to pay a hospital bill to use this guidance to understand their rights. Hospitals have a legal obligation to help patients who are eligible for financial assistance, and no one should be pushed into medical debt because they did not know where to turn." Attorney General James released this guidance as federal funding cuts are causing hundreds of thousands of New Yorkers to lose their health coverage. Because of cuts passed in the federal budget law known as H.R. 1, New York's Essential Plan income limit dropped from 250 percent to 200 percent of the federal poverty level on July 1, 2026, causing an estimated 450,000 New Yorkers to lose their zero-premium coverage and shift to marketplace plans with higher premiums, deductibles, and out-of-pocket costs. As more New Yorkers face coverage gaps or costlier plans, hospital financial aid may be one of the few protections standing between a medical emergency and crushing debt. New York's Hospital Financial Aid Law requires hospitals to offer discounted or free care, sometimes called "charity care," to patients who cannot afford their bills. Patients with household incomes up to 400 percent of the federal poverty level may qualify, and hospitals must waive all charges for patients earning less than 200 percent of the federal poverty level. This means single New Yorkers earning less than $31,920 and four-person households earning less than $66,000 are entitled to free care, while single New Yorkers earning up to $63,840 and four-person households earning up to $132,000 may qualify for a discount. Patients do not need to be uninsured to qualify; those with insurance who have exhausted their insurance benefits or who have spent more than 10 percent of their household income on out-of-pocket medical costs in the past year may also be eligible. In the guidance, Attorney General James also outlines critical protections many patients do not know they have. Hospitals cannot deny emergency or medically necessary care because of an unpaid bill, cannot limit financial aid based on a patient's medical condition, and cannot ask about or consider a patient's immigration status when determining eligibility. Applying for financial aid does not count as a public benefit and does not affect immigration status. Additionally, hospitals are legally prohibited from reporting applicants to immigration authorities. Hospitals also cannot send a bill to a debt collector while a financial aid application is under review, or for at least six months after sending a patient's first bill. New Yorkers can apply for financial aid at any time, starting from the day they receive services and continuing throughout the billing and collections process, using a standard application created by the New York State Department of Health (DOH). Attorney General James encourages New Yorkers who believe a hospital failed to offer financial aid, improperly disqualified them, or unlawfully sent their bill to a debt collector to reach out to OAG's Health Care Helpline for assistance.

Signup for our newsletter

AG James releases guidance on accessing hospital financial aid

COMPANY

CUSTOMER SUPPORT

SUBMISSION FORMS

BEYOND THE NEWS