Medical Billing for Healthcare Services Provided by Department of Defense Military Medical Treatment Facilities to Civilian Non-Beneficiaries

Key Points

• The Department of Defense is launching a new program to protect civilians from massive medical bills after receiving emergency care at military hospitals. Previously, the military was required by law to collect the full cost of care, which often led to extreme debt for patients who were not members of the military.
• Under the new rules, people with lower incomes can get their bills discounted or even completely forgiven. If a household's income is at or below the federal poverty level, they will receive a 100% discount. Those making up to four times the poverty level will pay much smaller, set fees instead of the full hospital bill.
• For patients with middle-to-high incomes, the military will cap total payments to prevent financial ruin. These bills will be limited to 5% of the person's monthly income over a three-year period, and any remaining balance above that amount will be wiped away.
• If you have health insurance, the military will now accept whatever your insurance pays as the full amount. You will only be responsible for your normal copays or deductibles, and the hospital is banned from sending you a bill for the remaining balance that the insurance didn't cover.
• To get these discounts, patients must fill out an application and provide proof of income, such as tax returns or pay stubs. While the application is being reviewed, the government will pause all debt collection efforts to protect the patient from aggressive billing tactics.
• In some cases, the military may waive a bill entirely if the medical care provided helped military doctors practice the skills they need for the battlefield. This ensures that training for medical readiness does not come at a crushing financial cost to the civilian patient.