What is the name of your state (only U.S. law)? CO
Hello, and thanks for your time.
On 6/2/2008, my first child was born and my wife spent 2 days in the hospital. Within 2 months, around 10K in bills were rendered between myself, insurance, the hospital, doctors, etc, all paid in full. 9 months later, I received a $928 hospital bill for charges I never knew existed ($1550 original and insurance benefit reduced it to $928). The hospital never sent a statement of charges while the bill was pending with insurance. Thinking there was a mistake, I learned that the hospital erred, processed the charges wrong which caused a prolonged back and forth with insurance. The hospital admitted to the error, acknowledged the charges should have been $917, and sent me a letter on 4/27/2009 offering to reduce the charges by 30% to $642. My insurance (with the assistance of my benefits coordinator) processed an additional $606 on 4/22/2009.
I wrote the hospital on 5/4/2009 to explain that I would accept their offer and that insurance recently paid $606 and wrote a check for $36 to equal/total the $642 they expected. The check was cashed about a week later.
A couple weeks ago, I received a bill from the hospital for $275 which ignored their offer and simply reduced the charges by $36 from the post insurance total. I submitted the letter I received from them how they offered to reduce the charged and explained how they received the $642 they expected.
They wrote me back explaining that the "payment from the insurance company was not governed by their agreement" and could not accept my reasoning closing this matter. They attached a letter sent on 5/6/2009 (which I never received) explaining that they received additional insurance funds and offered to reduce the bill by 30% of the total post insurance amount if I replied with payment by early June. The have reopened that offer.
Questions:
1. Does the hospital have any right to discriminate on how they receive their payment? If they were willing to settle for $642, do they have a right to care how those funds are received?
2. Does the fact that they cashed my settlement check after my lengthy explanation in mid May permit them to renege on their offer?
3. Are there any other legal items I am missing or is the hospital completely correct in their actions?
Thanks again for your time and reply!
Hello, and thanks for your time.
On 6/2/2008, my first child was born and my wife spent 2 days in the hospital. Within 2 months, around 10K in bills were rendered between myself, insurance, the hospital, doctors, etc, all paid in full. 9 months later, I received a $928 hospital bill for charges I never knew existed ($1550 original and insurance benefit reduced it to $928). The hospital never sent a statement of charges while the bill was pending with insurance. Thinking there was a mistake, I learned that the hospital erred, processed the charges wrong which caused a prolonged back and forth with insurance. The hospital admitted to the error, acknowledged the charges should have been $917, and sent me a letter on 4/27/2009 offering to reduce the charges by 30% to $642. My insurance (with the assistance of my benefits coordinator) processed an additional $606 on 4/22/2009.
I wrote the hospital on 5/4/2009 to explain that I would accept their offer and that insurance recently paid $606 and wrote a check for $36 to equal/total the $642 they expected. The check was cashed about a week later.
A couple weeks ago, I received a bill from the hospital for $275 which ignored their offer and simply reduced the charges by $36 from the post insurance total. I submitted the letter I received from them how they offered to reduce the charged and explained how they received the $642 they expected.
They wrote me back explaining that the "payment from the insurance company was not governed by their agreement" and could not accept my reasoning closing this matter. They attached a letter sent on 5/6/2009 (which I never received) explaining that they received additional insurance funds and offered to reduce the bill by 30% of the total post insurance amount if I replied with payment by early June. The have reopened that offer.
Questions:
1. Does the hospital have any right to discriminate on how they receive their payment? If they were willing to settle for $642, do they have a right to care how those funds are received?
2. Does the fact that they cashed my settlement check after my lengthy explanation in mid May permit them to renege on their offer?
3. Are there any other legal items I am missing or is the hospital completely correct in their actions?
Thanks again for your time and reply!
