Montana legislature passes bill to prevent ambulance service credit reporting

On March 6, 2025, the Montana Legislature introduced House Bill 758, a significant piece of legislation aimed at addressing balance billing practices in the state’s ambulance services. The bill seeks to protect consumers from negative credit reporting due to unpaid ambulance bills under specific conditions, thereby alleviating financial burdens on patients who may be caught in disputes over insurance coverage.

The key provisions of House Bill 758 include a prohibition against ambulance services submitting unpaid bills to consumer reporting agencies if the patient’s insurer has paid for the services according to the terms of the patient’s insurance plan. This protection extends to uninsured patients who have made partial payments and have filed complaints with the attorney general regarding unfair billing practices. Additionally, the bill mandates that any collection agency handling such bills must refrain from reporting them as delinquent if they fall under the protections outlined in the legislation.

Debate surrounding House Bill 758 has highlighted concerns from various stakeholders, including ambulance service providers and insurance companies. Proponents argue that the bill is essential for consumer protection, ensuring that patients are not penalized for issues beyond their control, such as billing disputes or insurance coverage discrepancies. Critics, however, express concerns about the potential financial impact on ambulance services, which may rely on timely payments to sustain operations.

The implications of this bill are multifaceted. Economically, it could lead to a decrease in the number of patients facing credit issues due to medical debt, potentially improving overall financial health for many Montanans. Socially, it addresses the growing concern over medical debt and its impact on individuals’ credit scores, which can affect their ability to secure loans or housing. Politically, the bill reflects a broader trend in healthcare reform aimed at increasing transparency and fairness in medical billing practices.

As House Bill 758 progresses through the legislative process, its outcomes will be closely monitored by both supporters and opponents. If passed, it could set a precedent for similar legislation in other states, further shaping the landscape of healthcare billing practices nationwide. The next steps will involve committee reviews and potential amendments as lawmakers continue to debate the bill's provisions and implications.