How to Dispute a Bill

Receiving an unexpected bill or one that appears inaccurate can be a source of significant stress and financial strain. Whether it's a utility charge, credit card fee, cell phone fee, or a medical expense, knowing how to dispute a bill is an essential skill for protecting your financial well-being.

First, begin by thoroughly examining the bill in question. Look for discrepancies such as duplicate charges, services not given, incorrect quantities or rates, or mathematical errors. Collect all relevant documents, including receipts, contracts or agreements, previous correspondence, photographs, and any other evidence that supports your claim. Then reach out to the company or service provider to discuss the issue. Often, billing errors are unintentional and can be resolved through a single conversation with a representative. If your issue isn't resolved through your initial contact, call the company's customer service department on the phone. Be prepared to clearly and concisely explain the error. Note the date, time, and name of the representative you speak with, as well as a summary of the conversation. If the issue is resolved to your satisfaction during this stage, confirm the resolution in writing, if possible (e.g., through a follow-up email summarizing the agreement). If your initial contact with the company does not result in a satisfactory resolution, draft a formal dispute letter in which you clearly state the disputed amount, the reason for the dispute, what action you expect the company to take to resolve the issue (such as a correction of the bill, an issuance of a credit, or a refund of overpayment), and politely request a response within a reasonable timeframe. Include copies of supporting documents; never send the originals. Send this letter via certified mail to ensure it is received. Keep track of all communications and continue to follow up as necessary.

Medical billing can be particularly intricate due to the involvement of multiple parties, including doctors, hospitals, clinics, labs, and insurance companies. Even if you initially receive a summary bill, always request an itemized version that lists each specific service, procedure, and supply provided, along with its corresponding charge. This level of detail makes it easier to identify potential errors. Your health insurance provider should send an Explanation of Benefits (EOB) outlining what the provider billed, what your insurance paid, any discounts applied, and what your responsibility is. Compare the EOB with the itemized medical bill to ensure that all services listed match. Discuss any discrepancies with your provider's billing department. Give evidence, request corrections, and document all interactions for future reference. If the discrepancy appears to be related to how your insurance processed the claim, like an incorrect application of your deductible or co-pay, contact your insurance company directly.

If your insurance company denies a claim, medication, or treatment that you believe should be covered, you have the right to file an appeal. Follow the appeal process outlined by your insurance provider. When filing an appeal, include a detailed letter explaining why you believe the claim should be covered, a letter of support from your healthcare provider explaining the medical necessity of the service, and any other relevant documentation.

A federal law called the No Surprises Act went into effect on January 1, 2022, and was designed to protect consumers from unexpected medical bills - particularly those that arise from out-of-network care during emergencies or without the patient's knowledge. Under the No Surprises Act, you are protected from being billed out-of-network rates for services such as anesthesiology, radiology, pathology, and laboratory services when these non-emergency services are provided at an in-network facility. Even if these providers are not in your insurance network, they cannot send you a surprise bill beyond your in-network cost-sharing obligations. If you receive non-emergency care from an out-of-network provider at an in-network facility, the provider must give advance notice, provide a good faith estimate, and obtain written consent from the patient. Also under the No Surprises Act, if you are uninsured or self-paying, providers must give you a good faith estimate of what services will cost before your appointment. If your final bill is $400 or more above the estimate, you can initiate a dispute resolution process through the Centers for Medicare & Medicaid Services (CMS). 

Disputing a bill requires diligence, organization, persistence, and patience. By understanding your rights and the proper procedures, you can effectively challenge erroneous charges. Don't hesitate to seek assistance from consumer protection agencies or legal professionals when necessary.