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New Florida Law: Patient Overpayments Must Be Refunded Within 30 Days

Client Alert

Effective January 1, 2026, Florida Senate Bill 1808, will require  health care facility licensees and health care practitioners to refund overpayments made by patients within 30 days after determination that an overpayment was made.  Failure to timely refund overpayments may result in fines or disciplinary actions.

Who does SB 1808 apply to?

The law will apply to health care facility licensees that are licensed by the Florida Agency for Health Care Administration and health care practitioners licensed by the Florida Department of Health. Billing departments, management companies, or group practices that accept payment for services rendered by a practitioner are also required to follow the 30-day refund mandate.

What overpayments are subject to this mandate?

The new law will only apply to overpayments owed to a patient when the provider has submitted charges for reimbursement with (1) a government-sponsored health care program (such as Medicaid or Medicare) or (2) a private health insurer or health maintenance organization for services rendered to a patient. This would exclude instances where a patient overpaid for services that were not billed to any insurer (for example, if the patient self-paid for a procedure not covered by insurance). Additionally, this does not apply to overpayments made by a health insurer or health maintenance organization.

What starts the 30-day clock to issue a refund?

Licensees and practitioners have 30 days to issue a refund from the date they determine that a patient made an overpayment. This places the responsibility to check payment records to determine any overpayments on the licensees and practitioners.

What happens if a refund is not issued within 30 days after overpayment is determined?

For health care facility licensees, failure to timely issue a refund could result in administrative fines. Fines range to up to $500 per violation and each day a refund is late constitutes a separate violation that is subject to an additional fine.

For health care practitioners, failure to timely issue a refund will now be grounds for a disciplinary action with the Florida Department of Health. Health care practitioners may also be subject to discipline if their billing department, management company, or group practice who accepts payment on their behalf fails to issue a timely refund.

Best Practices

To ensure compliance with SB 1808, health care facilities and practitioners should review payment policies and billing practices to assist in identifying any potential overpayments and providing mechanisms for timely issuing refunds as needed.

To learn more about this new law and ensuring compliance, please contact BMD Healthcare Member Amanda Waesch at alwaesch@bmdllc.com.


Enhancing Privacy Protections for Substance Use Disorder Patient Records

On February 8, 2024, the U.S. Department of Health and Human Services (“HHS”) finalized updated rules to 42 CFR Part 2 (“Part 2”) for the protection of Substance Use Disorder (“SUD”) patient records. The updated rules reflect the requirement that the Part 2 rules be more closely aligned with the Health Insurance Portability and Accountability Act of 1996 (“HIPAA”) privacy, breach notification, and enforcement rules as mandated by the Coronavirus Aid, Relief, and Economic Security Act of 2020.

Columbus, Ohio Ordinance Prohibits Employers from Inquiries into an Applicant’s Salary History

Effective March 1, 2024, Columbus employers are prohibited from inquiring into an applicant’s salary history. Specifically, the ordinance provides that it is an unlawful discriminatory practice to:

The Ohio Chemical Dependency Professionals Board’s Latest Batch of Rules: What Providers Should Know

The Ohio Chemical Dependency Professionals Board has introduced new rules and amendments, covering various aspects such as CDCA certificate requirements, expanded services for LCDCs and CDCAs, remote supervision, and reciprocity application requirements. Notable changes include revised criteria for obtaining a CDCA certification, expanded services for LCDCs and CDCAs, and updated ethical obligations for licensees and certificate holders, including non-discrimination, confidentiality, and anti-sexual harassment measures.

Governor Mike DeWine and The Ohio State University Introduce the SOAR Study on Ohio Mental Illness

On January 19, Ohio Gov. Mike DeWine and The Ohio State University announced a new research initiative, the State of Ohio Adversity and Resilience (“SOAR”) study, which will investigate all factors influencing Ohio’s mental illness and addiction epidemic.

CHANGING TIDES: Summary and Effects of Burnett et. al. v. National Ass’n of Realtors, et. al.

In April 2019, a class-action Complaint was filed in federal court for the Western District Court for Missouri arguing that the traditional payment agreements employed by many across the United States amounted to conspiracy resulting in the artificial increase in brokerage commissions. Plaintiffs, a class-action group comprised of sellers, argued that they paid excessive brokerage commissions upon the sale of their home as a result of the customary payment structure where Sellers agree to pay the full commission on the sale of their property, with Seller’s agent notating the portion of commission they are willing to pay to a Buyer’s agent at closing on the MLS or other similar system.