Statute of Limitations for Debt Owed by Patients

Doctors' visits can be expensive, especially for patients who do not have insurance. For this reason, many doctors allow patients to pay in installments or send bills rather than collecting full payment right away. However, if the patient or his insurance company fails to pay the bill by its due date, physicians may take action to collect the debt just as any other creditor would.

State Laws

In most states, medical debts are considered to be similar to other debts incurred by a written contract such as credit card debt. Therefore, the statute of limitations for medical debts varies by state; the statute of limitations will be the same as it is for other debts by contract in that state. For example, in Florida the statute of limitations on written contract debts, including medical debts, is five years.

Definition

The window of opportunity for a doctor's office or hospital to sue a debtor for unpaid bills begins when the debtor goes into default, not when the debtor incurs the debt. For example, if a hospital charges a patient $325 for visiting the emergency room and gives him a month to pay the bill, the statute of limitations begins from the due date of the bill, not from the date the patient visited the hospital.

Insurance and Debts

Fair Debt Collection reports that many patients mistakenly believe that their insurance companies are responsible for paying the debt. However, as of 2011, it is the patient's responsibility to pay medical bills. Thus, if a doctor's office fails to bill an insurance company or the insurance company does not pay the bill, the patient must pay it before it is due or face collection activity. Patients should follow up with their insurance companies and doctor's office with 30 days of a visit, especially if the patient receives a bill, to make sure all medical bills are paid.

Other Collection Activities

The statute of limitations law bars physicians from suing patients to recover unpaid debts after a certain period of time. However, physicians may continue to engage in collection activity after the statute of limitation expires as long as they do not attempt to go through the court system. For example, physicians can continue to send letters or make phone calls about the debt or ask a debt collector to do so on their behalf.