Hospital Charity Care: How to Apply for Financial Assistance

Most non-profit hospitals are required to offer charity care programs that reduce or eliminate medical bills for qualifying patients. If you're struggling with hospital costs, financial assistance may be available — but you need to know how to find and apply for it.

What Is Hospital Charity Care?

Charity care (also called financial assistance) is free or discounted hospital care provided to patients who cannot afford to pay their medical bills. Under federal tax law, non-profit hospitals must maintain a financial assistance policy (FAP) to keep their tax-exempt status.

What Charity Care Covers

• Emergency medical services
• Medically necessary hospital care
• Some hospitals extend coverage to elective procedures
• Coverage varies by hospital — some cover only facility charges, others include physician fees

Who Qualifies for Charity Care?

Eligibility criteria vary by hospital, but common factors include:

• Income level: Many programs cover patients earning up to 200-400% of the Federal Poverty Level (FPL)
• Family size: Larger families may qualify at higher income levels
• Insurance status: Both uninsured and underinsured patients may qualify
• Assets: Some hospitals consider savings and property
• Medical bills relative to income: High medical costs compared to your income can qualify you

How to Apply for Charity Care

Step 1: Find the Hospital's Financial Assistance Policy

• Check the hospital's website for "Financial Assistance" or "Charity Care" information
• Call the hospital's billing department and ask for the financial assistance application
• Hospitals are required to make their FAP widely available and in the primary languages of their community

Step 2: Gather Required Documents

• Proof of income (pay stubs, tax returns, Social Security statements)
• Bank statements
• Proof of household size
• Insurance information (or proof of lack of insurance)
• The hospital bill or account number

Step 3: Complete and Submit the Application

• Fill out the application completely — incomplete applications may be denied
• Attach all required documentation
• Submit before the deadline (typically 240 days from the first billing statement)
• Keep copies of everything you submit

Step 4: Follow Up

• Call to confirm your application was received
• Ask how long the review process takes
• Request that collections activity be paused while your application is reviewed
• If denied, ask about the appeals process

Your Rights Under Federal Law

• Non-profit hospitals must make reasonable efforts to determine if you qualify for financial assistance before pursuing extraordinary collection actions
• Hospitals cannot send you to collections, report to credit agencies, or garnish wages before determining your eligibility
• The hospital must provide the FAP in plain language and in languages spoken by the community

Tips for Success

• Apply as soon as possible — don't wait until the bill goes to collections
• Be honest and thorough in your application
• Ask a hospital financial counselor for help completing the application
• If denied, ask about payment plans or other discount programs

Data sourced from CMS and IRS requirements for tax-exempt hospitals. Visit Medicare Care Compare or call 1-800-MEDICARE.

Disclaimer: This article is for informational purposes only and does not constitute financial or legal advice.