HB4174 103RD GENERAL ASSEMBLY

LRB103 34596 RPS 64434 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4174

Introduced , by Rep. Margaret Croke

SYNOPSIS AS INTRODUCED:

New Act

Creates the Medical Financing Disclosure Act. Provides that, beginning January 1, 2025, medical providers referring patients to any third-party medical financing plan are required to disclose (i) that the referred financing plan is from a third-party entity or provider that is unaffiliated with the medical provider or with a governmental entity, if applicable, and (ii) specified relevant terms of the plan. Defines "third-party medical financing plan".

A BILL FOR

AN ACT concerning regulation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Medical Financing Disclosure Act.

Section 5. Definition. In this Act, "third-party medical financing plan" means a medical financing plan, such as a medical credit card offering a structured installment loan plan, offered by a private entity unaffiliated with the medical provider referring the plan or with any governmental entity.

Section 10. Required disclosures. Beginning January 1, 2025, medical providers referring patients to any third-party medical financing plan are required to disclose the following:

(1) that the referred financing plan is from a third-party entity or provider that is unaffiliated with the medical provider or with a governmental entity, if applicable; and

(2) the relevant terms of the plan, including, at minimum, the following:

(A) the offered annual percentage rate for the financing plan, and whether the plan offers the annual percentage rate based on a prospective patient's credit score rather than a flat annual percentage rate;

(B) down payments or fees associated with the plan;

(C) medical services covered by the plan;

(D) relevant term lengths;

(E) the length of any promotional period, such as deferred interest, and the interest and fees that will be charged once the promotional period has concluded; and

(F) any applicable credit limit.