A class action has been filed against Yale New Haven Hospitals for failing to provide healthcare services to Connecticut residents regardless of their ability to pay. The lawsuit alleges that Yale has an obligation to provide free or low cost healthcare services because it operates as a non-profit organization and is exempt from federal, state and local taxes. According to the complaint, Yale’s website states that it will ‘provide sensitive, high quality, cost effective health care services to all patients, regardless of ability to pay’.
The lawsuit also alleges that Yale has charged substantially more to uninsured patients for medical services than they charged to insured patients for the same services. Yale has been accused of giving private insurance companies and governmental third party payers like Medicare and Medicaid large discounts, but has not offered the same rates to uninsured patients.
In addition, the suit alleges that Yale has employed aggressive, abusive, and humiliating practices, including lawsuits, liens, and garnishments, to recover for medical debts. The suit points to several independent studies conducted over the past three years showing that Yale has received substantial revenues from their collection practices – much more than other non-profit organizations.