University of Maryland Medical System to Pay $2.25 Million in Restitution Over Facility Fees

BALTIMORE, MD – The University of Maryland Medical System Corporation (UMMS) has reached a settlement agreement with the Maryland Attorney General’s Consumer Protection Division that will provide $2.25 million in restitution to patients. This agreement addresses concerns raised regarding outpatient facility fees, commonly known as facility fees, that were charged before July 1, 2021. The date marks the effective date of the Facility Fee Right-to-Know Act, which set new standards for notification of these fees.

The Consumer Protection Division had raised issues that consumers were not sufficiently notified about the imposition of these facility fees. While UMMS disputes the assertion that patients were inadequately informed, the system has agreed to compensate patients who paid these fees out-of-pocket. The restitution specifically applies to fees charged by certain UMMS hospital clinics for services rendered prior to July 1, 2021, when similar services were available at non-hospital facilities owned or operated by UMMS affiliates, where such facility fees would not have been incurred. Eligible patients can anticipate receiving a refund check from UMMS within the next six months.

Individuals with questions about this settlement agreement are encouraged to contact the Attorney General’s Consumer Protection Division. They can do so by calling 410-576-6456 or by sending an email to claims@oag.maryland.gov. This settlement aims to ensure that patients are better informed about potential charges when seeking medical services, particularly when a choice of facility might exist.

For Maryland residents who received outpatient services at UMMS hospitals prior to July 1, 2021, and paid out-of-pocket facility fees, this settlement offers a potential refund. The restitution amount agreed upon is $2,251,781.52.

Article by Mel Anara, based upon information from the Maryland Attorney General’s Office.

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