How Can a Non-Profit Hospital Help if You Have No Insurance?

Non-profit hospitals can provide avenues for those without health insurance to find care in the event of an injury or illness. This is especially useful in an emergency. Federal and state regulations require a non-profit hospital to provide affordable health care options for consumers in surrounding communities or risk losing tax benefits at both levels of government.

Obligation to Treat

• The Emergency Medical Treatment and Active Labor Act is a federal law requiring all hospitals across the country examine and treat all emergency medical conditions and pregnant women walking through the doors. Under these regulations, for-profit and non-profit hospitals must determine the extent of injuries or illnesses and administer stabilizing care regardless of health insurance status. For-profit hospitals are under no obligation under EMTALA to admit patients whose injuries or illness do not place them in immediate danger. Basically, if patients without health insurance are not dying, for-profit hospitals may refuse to admit them for treatment.

Non-Profit Hospital Rules

• Non-profit hospitals enjoy several perks, including tax-exempt status on the federal and state levels. In exchange for these benefits, non-profit hospitals must offer low-cost or no-cost services for low-income consumers and families in the surrounding communities. This allows patients with little-to-no health care coverage to still receive treatment for non-life threatening injuries and illnesses. Non-profit hospitals that fail to offer an appropriate amount of low-cost or no cost health programs risk losing tax exempt status. According to the Georgian's for a Healthy Future website, the Illinois Supreme Court stripped a non-profit hospital of its tax-exempt status for failing to offer a sufficient number of charitable services to the community.

Non-Profit Emergency Rooms

• An emergency room in a non-profit hospital must admit all patients regardless of health insurance status or ability to pay. This benefits consumers without health insurance since for-profit hospitals have the right to refuse treatment if the presenting conditions do not pose an immediate threat to life. A non-profit hospital still has the right to bill consumers who cannot immediately pay for services and to pursue these consumers for the payment of medical debts in accordance with federal and state debt collection regulations.

Federal Law Violations

• The penalty for any hospital violating EMTALA statutes is quite severe. According to Find Law's website, the federal government may impose a minimum $50,000 civil penalty against a non-profit or for-profit hospital for each separate violation of EMTALA regulations. The fine for hospitals with less than 100 beds is $25,000. Emergency cases may also bring civil claims of negligence against violating hospitals and wrongful death cases in the event patients die as a direct result of hospitals refusing to provide legally required diagnosis and stabilizing treatment.