AHA Expresses Support for the No Fees for EFTs Act

November 28, 2023

Dear Representatives Murphy, Kilmer, Griffith, Bera, Miller-Meeks and Schrier:

On behalf of our nearly 5,000 member hospitals, health systems and other health care organizations, our clinician partners — including more than 270,000 affiliated physicians, 2 million nurses and other caregivers — and the 43,000 health care leaders who belong to our professional membership groups, the American Hospital Association (AHA) writes in support of the No Fees for EFTs Act.

Currently, commercial health insurers often automatically charge health care providers a percentage-based fee on electronic funds transfer (EFT) payments for providing health care services. These fees effectively reduce contracted rates and cost hospitals and health care systems substantial amounts of money that could otherwise be invested into patient care. EFT fees, which are essentially forcing hospitals to pay money to get paid, are especially egregious given all the other financially motivated tactics that commercial health insurers routinely use to delay or deny care for patients.

The No Fees for EFTs Act would address this issue by prohibiting health plans from imposing fees on health care providers for standard EFTs. This bill is particularly important now as hospitals and health systems are facing sustained and significant increases in the costs required to care for patients. Eliminating these fees charged by insurers will enable health care providers to dedicate more time and resources to provide care to patients, including investing in additional staff, equipment and technology to improve access to care.

We look forward to working with you on the passage of the No Fees for EFTs Act.

Sincerely,

/s/

Lisa Kidder Hrobsky
Senior Vice President
Advocacy and Political Affairs