mini_case_intro_05.pptx

mini_case_intro_05.pptx - 5-1 MINI-CASE 5 FRONT STREET...

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5 - 1 MINI-CASE 5 FRONT STREET HOSPITAL (Uninsured Charges and Collections) Introduction Laura Kay HAD521 Ethics in Finance Case Copyright © 2010 by the Foundation of the American College of Healthcare Executives 7/09
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5 - 2 According to one prominent attorney, not- for-profit hospitals routinely overcharge self-pay patients (because they are billed at charges), while insurers typically pay less (often much less) than billed charges; are overly vigorous in their pursuit of collections from uninsured patients who don’t pay their bills because they want to discourage those patients from coming back; and fail to provide the charity care required to maintain not-for-profit status. Case Summary
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5 - 3 Up to this point, the lawsuits filed against not-for-profit hospitals regarding self-pay billing and collections have not succeeded. However, some hospitals have agreed to out-of-court settlements, presumably to avoid a court action. What do you think? Is there an ethical issue here regarding the treatment of self-pay patients? If so, what should be done to resolve it? Case Summary (cont.)
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5 - 4 A not-for-profit corporation must be organized and run so it operates for the public, rather than private interest Board of Trustees Must also meet the tax definition of a charitable organization as defined by the IRS
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