Dec 28, 2023
A New California Law Bans Surprise Ambulance Bills for Out-of-Network Ground Ambulance Services
A new California law, effective January 1, 2024, targets the kind of ‘surprise ambulance bills’ the could put families in debt even though they have medical insurance.
The ‘No Surprise Billing Act’ which was part of the Consolidated Appropriations Act of 2021 (CAA) targeted Emergency Care, Non-Emergency Care from Out-of-Network Providers at In-Network Facilities, and Air Ambulance benefits and put regulations in place where an individual could not be charged more than the in-network co-pay, co-insurance, deductible or in-network benefit rate. This Act did not include ‘Ground Ambulance’ benefits.
Effective January 1, 2024, patients will only have to pay the equivalent of what they would have paid for an in-network ground ambulance benefit service. Health insurance and ambulance companies will have to settle the bill directly even if they do not have an existing contract.
The Bill was approved by the Governor October 8, 2023, published on October 10, 2023 and is effective January 1, 2024.
An association that represents carriers/insurers opposed the bill before it became law because of its potential to increase premiums by $67.3 million statewide. In contrast, people with commercial health insurance stand to save approximately $44.5 million in direct charges for ambulance rides, according to a legislative analysis.
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