Philadelphia Medical Debt Relief 2026–27: Free and Discounted Care at Temple, Jefferson and Penn, Your Federal Collection Protections, and Where Pennsylvania's Medical Debt Bill Stands
Philadelphia is home to some of the country's biggest hospital systems, and plenty of Philadelphians owe them money. Before you pay a medical bill you cannot afford, or ignore one that is heading to collections, find out whether you qualify for financial assistance. At Temple University Hospital, a family of four earning under $32,150 could qualify for free care, and discounts reach households up to $128,600, according to Temple's posted 2025 table. Jefferson Health's policy covers families up to 500% of the poverty level.
Pennsylvania does not yet have a statewide medical debt law like California's or New York's. The main protections Philadelphians can count on today are each hospital's own financial assistance policy and the federal rules for nonprofit hospitals. This guide explains both and ends with an honest status check on the proposed Pennsylvania Medical Debt Relief Act.
Where Pennsylvania Law Stands
House Bill 79 (2025–2026 session) would establish requirements for hospital-based financial assistance, including standard forms, public information about assistance programs and reporting of hospital policies. It would also create a Pennsylvania Medical Debt Relief Program. According to the Pennsylvania General Assembly's bill page, the House gave it third consideration and final passage in May 2025. Its last action was referral to the Senate Health and Human Services Committee on May 22, 2025.
Bottom line: as of this writing, HB 79 is not law. Do not count on its protections yet. Rely on the hospital policies and federal rules below, and check the bill page for updates.
Your Federal Protections at Nonprofit Hospitals
Nonprofit hospitals must follow federal Internal Revenue Code Section 501(r), and Jefferson's policy cites it directly. The IRS explains that a hospital must:
make reasonable efforts to find out whether you qualify for financial assistance before using "extraordinary collection actions." These include selling your debt, reporting you to credit bureaus, lawsuits, liens, wage garnishment, seizing bank accounts, or delaying needed care because of old bills.
wait at least 120 days after the first post-discharge bill before starting those actions
accept and decide applications filed within a 240-day application period that starts with the first post-discharge bill
send written notice at least 30 days before any extraordinary collection action, saying financial assistance is available
Jefferson's policy goes further. It gives patients two years from the date of service or 240 days from the first post-discharge bill, whichever is greater, to apply.
Hospital by Hospital
Temple University Hospital
Temple's financial assistance summary says families with income below 100% of the Federal Poverty Guidelines may qualify for free care. Families between 100% and 400% may qualify for discounts from 25% to 75%. Temple's posted 2025 table (Attachment A) puts that in dollars:
Household size | Free care (100%) | 75% discount (200%) | 50% discount (300%) | 25% discount (400%) |
1 | $15,650 | $31,300 | $46,950 | $62,600 |
2 | $21,150 | $42,300 | $63,450 | $84,600 |
3 | $26,650 | $53,300 | $79,950 | $106,600 |
4 | $32,150 | $64,300 | $96,450 | $128,600 |
5 | $37,650 | $75,300 | $112,950 | $150,600 |
6 | $43,150 | $86,300 | $129,450 | $172,600 |
These are the annual income limits for each tier. For households larger than 8, Temple's table adds $5,380 per person. Ask Temple whether a newer table applies to your date of service.
How to apply: fill out a written application and include proof of income. Temple says you may be asked to apply for government health programs first. Temple's Main Campus Financial Services Department (Rock Pavilion, Zone A, Office A-015) is at 215-707-7608, with financial counselors available every day of the year. Temple's summary lists counselor hours as 7:00 a.m. to 5:30 p.m. Monday through Friday, and 8:00 a.m. to 5:00 p.m. on Saturdays, Sundays and holidays. Temple's billing line is 215-707-3711. Temple also helps patients apply for government insurance and ACA Marketplace plans. Under its policy, eligible patients are not charged more than the amounts generally billed for emergency or medically necessary care.
Jefferson Health
Jefferson's Financial Assistance Policy (127.54) covers emergency and other medically necessary care for patients who:
are uninsured or underinsured
are not eligible for other coverage such as Medicare, Medicaid, HealthChoices, CHIP or TRICARE
meet the income, asset and residency rules
Income: family gross income at or below 200% FPL qualifies for free care. Above 200% up to 500% FPL qualifies for discounted care.
Assets: under the policy, an individual's resources cannot exceed $7,500, and a family's cannot exceed $15,000, as of the application date, using Pennsylvania's Medical Assistance resource definitions.
Residency: the program is open to residents of Pennsylvania, New Jersey and Delaware.
Request Jefferson's application from a financial counselor or its billing office, and attach the documents the application lists.
Penn Medicine
Penn Medicine says uninsured or underinsured patients may apply for financial assistance at any time during treatment or when payment is requested. For Penn Medicine locations in the Philadelphia area, call 800-406-1177. That number also handles help with requesting assistance online. Penn's full Financial Assistance Policy, with its income tiers, is posted on its website. Read it, or ask the counselor which tier your income falls in.
What to Send With Any Application
Each hospital lists its own requirements. Most ask for:
proof of income for everyone in the household
household size
insurance information, or proof that you were denied coverage
the account numbers on the bills you want reviewed
Send copies, keep the originals, and write down the date you mailed or delivered everything.
Step-by-Step: Handling a Philadelphia Hospital Bill
Get an itemized bill. Check for duplicate or incorrect charges.
Mark the date of the first bill you got after leaving the hospital. Your 240-day window runs from there. At Jefferson, you may have up to two years from the date of service.
Compare your income with the hospital's tiers, using Temple's table above or the hospital's own policy.
Apply in writing, even if you think you are over the limit. Discounts often reach well above poverty level.
Ask the billing office to put the account on hold while your application is reviewed.
Get the decision in writing. If you are denied, ask for the reason and the section of the policy it relies on.
Ask about a payment plan for any balance that remains.
If Collections Have Started
Check whether the hospital followed 501(r). Was there a 30-day written notice? Did it decide your complete application before taking action? If not, write to the hospital's patient financial services office and cite Section 501(r).
Apply anyway. Under the federal rules, a complete application filed within the application period must be decided, even if the account has already gone to collections.
Never ignore court papers. If you are sued, get legal help right away.
Free Legal Help in Philadelphia
Community Legal Services (CLS) provides free civil legal help to low-income Philadelphians:
Center City Office: 1424 Chestnut Street, Philadelphia, PA 19102, 215-981-3700
North Philadelphia Office: 1410 W. Erie Avenue, Philadelphia, PA 19140, 215-227-2400
Related Guides
Sources
This guide gives general information, not legal advice. Hospital policies and laws change; check the official sources above before you act.
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