File photo

File photo

Medical debt lawsuit against Providence now includes collection agencies

Agencies violated the Collection Agency Act and Consumer Protection Act, according to attorney general.

  • By Bailey Jo Josie bailey.jo.josie@fedwaymirror.com
  • Thursday, August 25, 2022 5:00pm
  • Business

Earlier this month, Washington Attorney General Bob Ferguson announced that he has expanded his underlying consumer protection lawsuit against 14 Providence-affiliated hospitals from earlier in the year to include two collection agencies.

Ferguson has accused Harris & Harris and Optimum Outcomes, who worked for the five Swedish hospitals and nine Providence-affiliated medical facilities that were named in the original lawsuit, of failing to notify an estimated 54,000 patient accounts of available charity care.

“Despite its mission, for years, Providence has engaged in unfair and deceptive practices that prevent many of the most vulnerable members of the communities it claims to serve from accessing free and reduced cost charity care,” said the amended lawsuit presented by Ferguson.

According to the attorney general, the two collection agencies are accused of violating the Collection Agency Act and Consumer Protection Act. By law, collection agencies must include a written notice of any eligibility that a patient may have for charity care upon the first collection notice. The amended lawsuit also claims that the collection agencies failed to inform patients of their rights to request certain information about their debt, which is against the law. Ferguson accuses the 14 hospitals and the two collection agencies of collecting more than $470 million in medical debt while violating the law.

In an Aug. 9 press release, Ferguson said that he will fight to ensure that Washington state’s charity cares law. “Families live in fear that an unexpected medical emergency could result in crushing medical debt,” Ferguson said. “Collection agencies cannot deceive Washingtonians about their legal right to access medical financial assistance.”

In a statement from a Providence spokesperson, the organization said the charges are inaccurate and unfair.

“Charity care and financial assistance are a central tenet of our mission as a not-for-profit organization. As the largest provider of charity care in the state of Washington, the Providence family of organizations provided $75.5 million in free and discounted care statewide in 2021 alone,” said the spokesperson in an email. “We also absorbed $471 million in uncompensated Medicaid costs last year in Washington state. Our practices comply with, and in many instances exceed, the requirements of Washington’s Charity Care Act. In fact, our threshold for charity care eligibility is at least two times more generous than Washington state standards.”




Talk to us

Please share your story tips by emailing editor@kentreporter.com.

To share your opinion for publication, submit a letter through our website https://www.kentreporter.com/submit-letter/. Include your name, address and daytime phone number. (We’ll only publish your name and hometown.) Please keep letters to 300 words or less.

More in Business

Courtesy Image
U.S. Equal Employment Opportunity Commission sues Kent business

Alleges religious discrimination and retaliation against Logic Staffing

t
Chuck E. Cheese in Kent plans grand reopening Oct. 9

Newly remodeled Kent location will offer special deals during celebration

Photo courtesy of School of Rock.
School of Rock Kent, teaching kids resilience

For kids who don’t like sports, School of Rock offers another avenue… Continue reading

(Screenshot)
Bikini coffee stand owner pleads guilty to tax evasion

Ladybug Espresso owner underreported his income for a tax loss of more than $1.7 million, according to the Department of Justice.

t
Kent-based Blue Origin completes eighth human spaceflight

Six-member crew spends 10 minutes in space; reaches speed of 2,238 mph

Voting is underway for the Best of Kent 2024!
Best of Kent 2024: Vote for your local favorites

Vote today for your favorite Kent businesses, restaurants, people and more!

Dick’s Drive-In is celebrating its 70th anniversary this year with parties at its locations, including 4 to 8 p.m. Friday, Aug. 16 in Kent. COURTESY PHOTO, Dick’s Drive-In
Dick’s Drive-In plans special anniversary celebration in Kent

Restaurant started 70 years ago in Seattle; party in Kent from 4 to 8 p.m. Friday, Aug. 16

Big Lots is closing many stores, including its one in Kent. COURTESY PHOTO, The Herald (Everett)
Big Lots closing Kent location as part of widespread cutbacks

Store along West Meeker Street one of 12 the company is shutting down in Washington state

t
Kent-based Blue Origin reveals six-member crew for next flight to space

Group to include Karsen Kitchen, 21, who will become the youngest woman to fly to space

default
Longtime abandoned gas station in Kent ‘finally coming down’

Mayor Dana Ralph says ‘eyesore’ going away at corner of James Street and Central Avenue North

t
Sysco employees show off job skills at Kent warehouse

Company holds competitions in warehouse work and truck driving

Summer Passports can be found at all 12 participating women-owned businesses. Courtesy photo.
12 local women-owned businesses launch summer passport program

In an initiative to boost small businesses in Maple Valley, Covington and Black Diamond, shoppers and patrons of each women-owned business will be eligible to receive weekly raffle prizes.