CAL LEG Medical Debt Credit Reporting


On Mar. 10, CAL LEG bill to protect consumers against medical debt.


  • CAL LEG issued SB 1061 regarding consumer protections against medical debt.
  • Provisions amended Consumer credit reporting agencies act (CAL LEG 3-1.6-1785)
  • Prohibited CRA from making a credit report containing information about medical debt.
  • Bill Provisions
  • Prohibited CRA from making a credit report containing information about medical debt.
  • Health providers may not provide information on a patient’s medical debt to a CRA.
  • Providers should include a provision in any contract entered into with a collection agency that prohibits reporting of a patient’s medical debt to a consumer CRA.
  • CRAs may not accept, store, or disclose any information concerning a medical debt.
  • Legislative History
  • On Feb. 8, 2024, bill was introduced in Senate; pending Senate review and vote.
  • In Aug. 2024, CAL AG continues fight against medical debt reporting, see #222725.
  • Sep. 2024 CAL LEG Governor Approval
  • On Sep. 24, 2024, CAL AG reported governor signed bill SB 1061; Chapter 520.
  • Operative if this and SB 1268 enacted and become effective on or before Jan. 1, 2025.
  • As SB 1286 enacted same day on Sep. 24 (#226175), SB 1061 effective Jan. 1, 2025.
  • Sep. 2024 CAL LEG Governor Approval
  • On Sep. 24, 2024, CAL LEG reported governor approved SB 1061 as Chapter 520.

Regulators CAL AG; CAL LEG
Entity Types CNSM; CRA; Ins
Reference Ch. 520, 9/24/2024; PR, Bill, Ch. 520, 9/24/2024; PR, 3/10/2024; Bill SB1061, 2/8/2024; Citation: CAL LEG 3-1.6-1785;
Functions Compliance; Financial; Legal; Operations; Privacy; Reporting
Countries United States of America
Category
State
Products Insurance; Insurance-Health
Regions Am
Rule Type Final
Rule Date 3/10/2024
Effective Date 1/1/2025
Rule Id 204370
Linked to Rule :226175
Reg. Last Update 9/24/2024
Report Section US Consumer

Last substantive update on 09/30/2024