Health care providers and medical facilities; require to refund overpayments to patients within a specified time.

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To: Public Health and Human
Services
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Waldo

HOUSE BILL NO. 961

AN ACT TO REQUIRE HEALTH CARE PROVIDERS AND MEDICAL 1
FACILITIES TO RETURN OVERPAYMENTS TO PATIENTS WITHIN A SPECIFIED 2
TIMEFRAME; TO DEFINE "OVERPAYMENT" TO MEAN ANY PAYMENT RECEIVED BY 3
A HEALTH CARE PROVIDER OR MEDICAL FACILITY FROM OR ON BEHALF OF A 4
PATIENT THAT EXCEEDS THE TOTAL AMOUNT OWED BY THE PATIENT FOR 5
SERVICES RENDERED, AFTER FINAL ADJUDICATION BY ALL APPLICABLE 6
PAYERS; TO PROVIDE THAT THE FAILURE OF A HEALTH CARE PROVIDER OR 7
MEDICAL FACILITY TO REFUND AN OVERPAYMENT WITHIN THE REQUIRED 8
TIMEFRAME REQUIRED MAY BE SUBJECT TO ENFORCEMENT BY THE 9
MISSISSIPPI ATTORNEY GENERAL UNDER THE MISSISSIPPI CONSUMER 10
PROTECTION ACT; TO AUTHORIZE THE STATE DEPARTMENT OF HEALTH TO 11
PROMULGATE RULES AND REGULATIONS NECESSARY TO IMPLEMENT THE 12
PROVISIONS OF THIS ACT; TO AMEND SECTION 75-24-5, MISSISSIPPI CODE 13
OF 1972, TO CONFORM TO THE PROVISIONS OF THIS ACT; AND FOR RELATED 14
PURPOSES. 15
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 16
SECTION 1. (1) Definitions. For purposes of this section, 17
the following terms shall be defined as provided in this 18
subsection: 19
(a) "Health care services" means any care, treatment, 20
service or procedure to maintain, diagnose or otherwise affect an 21
individual's physical or mental condition. 22
(b) "Health care provider" means an individual 23
licensed, certified or otherwise authorized or permitted by law to 24
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provide health care services in the ordinary course of business or 25
practice of a profession. 26
(c) "Medical facility" means any hospital, clinic, 27
ambulatory surgical center, physician practice, laboratory or 28
other entity licensed or regulated by the State of Mississippi 29
that provides medical or health care services to patients. 30
(d) "Overpayment" means any payment received by a 31
health care provider or medical facility from or on behalf of a 32
patient that exceeds the total amount owed by the patient for 33
services rendered, after final adjudication by all applicable 34
payers, including private insurance, Medicare, Medicaid, or other 35
third-party payers. 36
(e) "Final determination of overpayment" means the date 37
on which a health care provider or medical facility has received 38
all payments and explanations of benefits reasonably necessary to 39
determine that an overpayment exists. 40
(2) Required refund of overpayments. (a) A health care 41
provider or medical facility shall refund any overpayment to the 42
patient or the patient's legal representative no later than sixty 43
(60) days after the final determination of the overpayment. 44
(b) Refunds shall be issued automatically and shall not 45
require a request by the patient. 46
(c) Refunds shall be made by the same method of payment 47
used by the patient, when practicable, or by check or electronic 48
funds transfer. 49
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(3) Notice to patient. At the time a refund is issued, the 50
health care provider or medical facility shall provide the patient 51
with a written or electronic notice explaining: 52
(a) The amount of the overpayment; 53
(b) The reason for the overpayment; and 54
(c) The date on which the overpayment was determined. 55
(4) Enforcement and penalties. (a) The failure of a health 56
care provider or medical facility to refund an overpayment within 57
the timeframe required under this section may be subject to 58
enforcement by the Mississippi Attorney General under the 59
Mississippi Consumer Protection Act. 60
(b) A pattern or practice of knowingly failing to 61
refund overpayments may constitute an unfair or deceptive trade 62
practice. 63
(c) This act shall not limit any other remedy available 64
to a patient under state or federal law. 65
(5) Rules and regulations. The State Department of Health 66
may promulgate rules and regulations necessary to implement the 67
provisions of this section. 68
SECTION 2. Section 75-24-5, Mississippi Code of 1972, is 69
amended as follows: 70
75-24-5. (1) Unfair methods of competition affecting 71
commerce and unfair or deceptive trade practices in or affecting 72
commerce are prohibited. Action may be brought under Section 73
75-24-5(1) only under the provisions of Section 75-24-9. 74
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(2) Without limiting the scope of subsection (1) of this 75
section, the following unfair methods of competition and unfair or 76
deceptive trade practices or acts in the conduct of any trade or 77
commerce are * * * prohibited: 78
(a) Passing off goods or services as those of another; 79
(b) Misrepresentation of the source, sponsorship, 80
approval, or certification of goods or services; 81
(c) Misrepresentation of affiliation, connection, or 82
association with, or certification by another; 83
(d) Misrepresentation of designations of geographic 84
origin in connection with goods or services; 85
(e) Representing that goods or services have 86
sponsorship, approval, characteristics, ingredients, uses, 87
benefits, or quantities that they do not have or that a person has 88
a sponsorship, approval, status, affiliation, or connection that 89
he does not have; 90
(f) Representing that goods are original or new if they 91
are reconditioned, reclaimed, used, or secondhand; 92
(g) Representing that goods or services are of a 93
particular standard, quality, or grade, or that goods are of a 94
particular style or model, if they are of another; 95
(h) Disparaging the goods, services, or business of 96
another by false or misleading representation of fact; 97
(i) Advertising goods or services with intent not to 98
sell them as advertised; 99
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(j) Advertising goods or services with intent not to 100
supply reasonably expectable public demand, unless the 101
advertisement discloses a limitation of quantity; 102
(k) Misrepresentations of fact concerning the reasons 103
for, existence of, or amounts of price reductions; 104
(l) Advertising by or on behalf of any licensed or 105
regulated health care professional which does not specifically 106
describe the license or qualifications of the licensed or 107
regulated health care professional; 108
(m) Charging an increased premium for reinstating a 109
motor vehicle insurance policy that was cancelled or suspended by 110
the insured solely for the reason that he was transferred out of 111
this state while serving in the United States Armed Forces or on 112
active duty in the National Guard or United States Armed Forces 113
Reserve. It is also an unfair practice for an insurer to charge 114
an increased premium for a new motor vehicle insurance policy if 115
the applicant for coverage or his covered dependents were 116
previously insured with a different insurer and canceled that 117
policy solely for the reason that he was transferred out of this 118
state while serving in the United States Armed Forces or on active 119
duty in the National Guard or United States Armed Forces Reserve. 120
For purposes of determining premiums, an insurer shall consider 121
such persons as having maintained continuous coverage. The 122
provisions of this paragraph (m) shall apply only to such 123
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ST: Health care providers and medical
facilities; require to refund overpayments to
patients within a specified time.
instances when the insured does not drive the vehicle during the 124
period of cancellation or suspension of his policy; 125
(n) Violating the provisions of Section 75-24-8; 126
(o) Violating the provisions of Section 73-3-38; 127
(p) Violating any of the provisions of Title 41, 128
Chapter 149, Mississippi Code of 1972; * * * 129
(q) Violating any of the provisions of Title 45, 130
Chapter 38, Mississippi Code of 1972 * * *; 131
(r) Violating any of the provisions of Title 41, 132
Chapter 151, Mississippi Code of 1972 * * *; and 133
(s) Violating any provision of Section 1 of this act. 134
SECTION 3. This act shall take effect and be in force from 135
and after July 1, 2026. 136