Wisconsin Medical Bill Rights & Programs: BadgerCare Plus, Charity Care, and Debt Collection Protections

Wisconsin takes a unique approach to healthcare coverage. Although the state did not formally expand Medicaid under the ACA, BadgerCare Plus covers childless adults up to 100% of the Federal Poverty Level, eliminating the coverage gap that exists in many non-expansion states. Wisconsin also offers strong debt collection protections, including a 20% wage garnishment cap (lower than the 25% federal maximum), a 6-year statute of limitations on medical debt, and a $75,000 homestead exemption. Milwaukee County has pioneered a medical debt abolition program that has erased tens of millions in medical debt for residents.

Wisconsin Patient Protections at a Glance

BadgerCare Plus Coverage

Adults up to 100% FPL, children up to 300% FPL

20% Wage Garnishment Cap

Lower than the 25% federal maximum (WI 812.34)

6-Year Statute of Limitations

Medical debt expires after 6 years (WI 893.43)

$75,000 Homestead Exemption

Protects your home equity from creditors

Hospital Charity Care Required

Nonprofit hospitals must offer financial assistance

Federal No Surprises Act

Protection from out-of-network balance billing

BadgerCare Plus: Wisconsin's Unique Approach to Coverage

No Expansion Gap in Wisconsin

Wisconsin is one of the few states that did not expand Medicaid under the ACA yet still has no coverage gap. Through BadgerCare Plus, the state covers adults who would otherwise fall into the gap between Medicaid and Marketplace eligibility. Here is how the program works:

Childless adults: Covered up to 100% FPL (about $15,060/year for a single person in 2026)
Children: Covered up to 300% FPL (about $45,180/year for a single person equivalent)
Pregnant women: Covered up to 300% FPL with comprehensive prenatal and delivery care
Above 100% FPL: Adults transition to subsidized ACA Marketplace coverage with no gap in eligibility

How to Apply for BadgerCare Plus

Online: Apply at access.wisconsin.gov (the state's benefits portal)
By phone: Call (800) 362-3002 (Member Services)
In person: Visit your county or tribal agency income maintenance office
Retroactive coverage: BadgerCare Plus can cover bills up to 3 months before your application date if you were eligible during that time

Important: Check Your Eligibility Even if You Have a Bill

If you received medical care without insurance, apply for BadgerCare Plus as soon as possible. The 3-month retroactive coverage window means you may be able to get your existing bills covered. Many Wisconsin residents qualify but never apply. Hospital financial counselors are required to help you with the application process.

Hospital Charity Care in Wisconsin

DHS Free Hospitals and Charity Care Guide

The Wisconsin Department of Health Services (DHS) maintains a consumer guide listing hospitals that provide free or reduced-cost care. All nonprofit hospitals in Wisconsin (the vast majority of hospitals in the state) are required under IRS Section 501(r) to:

Maintain a written financial assistance policy (FAP) describing who qualifies for free or discounted care
Publicize the policy widely, including posting on their website, in billing statements, and in the emergency department
Screen patients for eligibility before pursuing extraordinary collection actions (lawsuits, liens, garnishment)
Have financial counselors available to assist patients with applications and enrollment
Limit charges for financial assistance-eligible patients to amounts generally billed (AGB) to insured patients

How to Find Free or Reduced-Cost Care in Wisconsin

Visit the DHS website and search for the "Free Hospitals and Charity Care" consumer guide
Call DHS at (608) 266-1865 for help finding a free or reduced-cost provider
Ask any hospital for their financial assistance application, even after receiving a bill
Visit a Federally Qualified Health Center (FQHC) for sliding-scale primary care

Milwaukee County Medical Debt Abolition Program

An Innovative Approach to Medical Debt Relief

Milwaukee County launched a groundbreaking medical debt abolition program in partnership with Undue Medical Debt (formerly RIP Medical Debt). The program purchases qualifying medical debt portfolios for pennies on the dollar and then forgives the entire balance for eligible residents.

Tens of millions in debt abolished: The program has eliminated medical debt for thousands of Milwaukee County residents
Pennies on the dollar: Medical debt portfolios are purchased at a fraction of face value, maximizing impact
No tax burden: Forgiven medical debt under this program is generally not considered taxable income under the American Rescue Plan Act
Automatic notification: If your debt is abolished, you receive a letter confirming the balance has been forgiven

Note: You Cannot Apply Directly

The debt abolition program purchases debt portfolios from hospitals and collection agencies. You cannot apply to have your specific debt included. If you are a Milwaukee County resident with medical debt, focus on applying for financial assistance directly with your hospital and checking your eligibility for BadgerCare Plus. If your debt qualifies for the abolition program, you will be notified automatically.

Debt Collection Protections in Wisconsin

6-Year Statute of Limitations (WI Statute 893.43)

In Wisconsin, the statute of limitations on medical debt is 6 years from the date of the last payment or the date the debt became due. After 6 years, the debt is time-barred, meaning a creditor loses the legal right to sue you for payment.

Do not make partial payments on old debt without consulting an attorney. A partial payment can restart the 6-year clock.
Do not acknowledge the debt in writing, as this can also restart the statute of limitations.
Collectors can still contact you about time-barred debt, but they cannot legally threaten to sue.
Court judgments are enforceable for 20 years in Wisconsin (WI Statute 893.40) and can be renewed.

20% Wage Garnishment Cap (WI Statute 812.34)

Wisconsin limits wage garnishment to 20% of your disposable earnings, which is lower than the 25% federal cap. This means more of your paycheck is protected if a creditor obtains a court judgment.

Maximum 20% of disposable earnings (gross pay minus required deductions like taxes and Social Security)
Subsistence floor: If 20% of your disposable earnings is less than 30 times the federal minimum wage per week, the garnishment amount is further reduced
Court judgment required: A creditor must sue you and win a judgment before garnishing wages
Social Security and disability benefits are exempt from garnishment for medical debt

$75,000 Homestead Exemption (WI Statute 815.20)

Wisconsin protects up to $75,000 of equity in your primary residence from creditors, including medical debt collectors. If you own a home, this means:

The first $75,000 of equity in your home cannot be seized to pay medical debt
A judgment lien can attach to your home, but a forced sale is unlikely if equity is under $75,000
The exemption applies automatically to your primary residence

Major Wisconsin Hospital Financial Assistance Programs

Advocate Health (formerly Advocate Aurora Health)

Advocate Health is one of the largest health systems in Wisconsin, operating numerous hospitals across the state. Their financial assistance program provides free care to patients with income at or below 200% FPL and discounted care for patients up to 300% FPL. Emergency and medically necessary services are covered under the program.

Advocate Health Financial Assistance Guide →

Ascension Wisconsin

Ascension Wisconsin operates hospitals and clinics throughout the state, including Columbia St. Mary's and Wheaton Franciscan facilities. As a Catholic nonprofit system, Ascension provides charity care for uninsured and underinsured patients. Free care is typically available for patients at or below 200% FPL, with discounts extending to 300% or 400% FPL depending on the facility.

Ascension Financial Assistance Guide →

Froedtert & Medical College of Wisconsin

Froedtert Health, based in Milwaukee, partners with the Medical College of Wisconsin and operates Froedtert Hospital, Community Memorial Hospital, and St. Joseph's Hospital. Their financial assistance program covers uninsured patients with income up to 300% FPL for free or discounted care. Patients can apply at any time, including after a bill has been sent to collections.

Marshfield Clinic Health System

Marshfield Clinic is a major healthcare provider in central and northern Wisconsin. Their financial assistance program provides free or reduced-cost care based on income and family size. Patients with income at or below 200% FPL typically qualify for free care. Marshfield also operates a patient assistance fund for patients facing financial hardship.

Other Major Systems

Additional Wisconsin hospital systems with financial assistance programs include:

Gundersen Health System: Serving western Wisconsin, with charity care for patients up to 200% FPL and discounts above
ThedaCare (HSHS): Northeast Wisconsin provider with financial assistance for uninsured and underinsured patients
UW Health: The University of Wisconsin hospital system offers financial assistance for patients up to 300% FPL

Need Help With a Wisconsin Hospital Bill?

Wisconsin has strong protections, but navigating charity care applications, BadgerCare Plus enrollment, and billing disputes takes time and knowledge. Our Bill Defense team handles the entire process for you, from requesting itemized bills to filing financial assistance applications and negotiating directly with hospitals. You pay nothing unless we reduce your bill.

Get Bill Defense Help

Surprise Billing Protections

Federal No Surprises Act (Effective January 2022)

Wisconsin patients are protected by the federal No Surprises Act. While Wisconsin does not have a comprehensive state-level surprise billing law, the federal protections are strong:

Emergency services: You pay only in-network cost-sharing for all emergency care, regardless of whether the hospital or provider is in your network
In-network facilities: If you go to an in-network hospital but receive care from an out-of-network provider (anesthesiologist, radiologist, pathologist, etc.), you pay only your in-network rate
Air ambulance: Out-of-network air ambulance services are covered at the in-network rate
Good faith estimates: Uninsured or self-pay patients must receive an advance estimate, and can dispute charges that exceed the estimate by $400 or more

When Surprise Billing Protections Do Not Apply

The No Surprises Act does not apply to ground ambulance services, which remain a significant source of unexpected medical bills in Wisconsin. The law also does not apply if you voluntarily sign a written consent to receive out-of-network care at a higher rate (except for emergency services, where consent waivers are prohibited).

How to Fight a Medical Bill in Wisconsin

1
Request an Itemized Bill
Ask for a line-by-line breakdown showing every charge, CPT/HCPCS code, date of service, and provider name. Compare it against your insurance EOB if applicable.
2
Check for Billing Errors
Look for duplicate charges, services you did not receive, upcoded procedures, unbundled services, and facility fees. Medical billing errors are found on a significant percentage of hospital bills.
3
Apply for Financial Assistance
Contact the hospital billing department and request a financial assistance application. Under IRS 501(r), nonprofit hospitals must screen you before pursuing extraordinary collection actions. Also check your eligibility for BadgerCare Plus.
4
Negotiate the Remaining Balance
If you do not qualify for full charity care, negotiate a reduced amount. Many Wisconsin hospitals will accept 40 to 60 percent of the original bill as payment in full. Request a zero-interest payment plan if you cannot pay in a lump sum.
5
File a Written Dispute
Send a certified letter to the billing department referencing specific errors and requesting correction. Cite WI Statute 893.43 (statute of limitations) and 812.34 (garnishment cap) if relevant.
6
Escalate if Needed
File complaints with DATCP, the Office of the Commissioner of Insurance (OCI), or the CFPB. See the contacts section below for phone numbers and websites.

DATCP Consumer Complaints (Wisconsin-Specific)

Department of Agriculture, Trade and Consumer Protection

Wisconsin is unique in handling consumer protection complaints through the Department of Agriculture, Trade and Consumer Protection (DATCP) rather than the Attorney General's office. DATCP investigates unfair billing practices, deceptive debt collection, and consumer fraud.

When to file: If a hospital or collection agency is using deceptive practices, charging incorrect amounts, failing to honor financial assistance policies, or violating debt collection laws
Online: File at datcp.wi.gov under "File a Complaint"
By phone: Call (800) 422-7128
By mail: DATCP, PO Box 8911, Madison, WI 53708-8911

Other Complaint Options

Office of the Commissioner of Insurance (OCI): For insurance-related billing disputes, denied claims, and network adequacy issues. Call (800) 236-8517 or visit oci.wi.gov.
Consumer Financial Protection Bureau (CFPB): For federal debt collection violations. File at consumerfinance.gov or call (855) 411-2372.
Wisconsin Attorney General: For fraud and abusive practices. Call (800) 999-9111.

Key Contacts and Resources

BadgerCare Plus

access.wisconsin.gov

DATCP Consumer Protection

datcp.wi.gov

Office of the Commissioner of Insurance

oci.wi.gov

WI Dept. of Health Services

dhs.wisconsin.gov

WI Attorney General

doj.state.wi.us

CFPB (Federal)

consumerfinance.gov

Frequently Asked Questions

What is the statute of limitations for medical debt in Wisconsin?

Six years from the date of the last payment or the date the debt became due (Wisconsin Statute 893.43). Making a partial payment or acknowledging the debt in writing can restart the 6-year clock. After the statute of limitations expires, a collector can still contact you, but you have a strong defense if they file a lawsuit. Court judgments in Wisconsin are enforceable for 20 years and can be renewed.

What is BadgerCare Plus and who qualifies?

BadgerCare Plus is Wisconsin's Medicaid program. It covers childless adults up to 100% of the Federal Poverty Level (about $15,060/year for a single person in 2026), children up to 300% FPL, and pregnant women up to 300% FPL. Adults above 100% FPL can access subsidized coverage through the ACA Marketplace with no gap in eligibility. Apply online at access.wisconsin.gov, by phone at (800) 362-3002, or in person at your county income maintenance office.

How much of my wages can be garnished for medical debt in Wisconsin?

Wisconsin caps wage garnishment at 20% of your disposable earnings under Statute 812.34, which is lower than the 25% federal maximum. A creditor must first obtain a court judgment before garnishing your wages. If 20% of your disposable earnings would bring your weekly income below 30 times the federal minimum wage, the garnishment is further reduced. Social Security and disability benefits are exempt from garnishment.

Do Wisconsin hospitals have to offer financial assistance?

Yes. All nonprofit hospitals in Wisconsin are required under IRS Section 501(r) to maintain a written financial assistance policy, publicize it, and screen patients for eligibility before pursuing extraordinary collection actions such as lawsuits, liens, or wage garnishment. The Wisconsin DHS also publishes a Free Hospitals and Charity Care consumer guide. Hospitals must have financial counselors available to help patients apply.

Does Wisconsin have surprise billing protections?

Wisconsin patients are protected by the federal No Surprises Act (effective January 2022). The law prohibits balance billing for emergency services, out-of-network providers at in-network facilities, and air ambulance services. You pay only your in-network cost-sharing amount. Wisconsin does not have a comprehensive state-level surprise billing law, so the federal protections serve as the primary safeguard. Ground ambulance services are not covered by the No Surprises Act.

What is the Milwaukee County medical debt abolition program?

Milwaukee County partnered with Undue Medical Debt (formerly RIP Medical Debt) to purchase and abolish medical debt for residents. The program buys qualifying medical debt portfolios for pennies on the dollar and forgives the full balance. You cannot apply directly for this program. If your debt qualifies, you will receive a letter notifying you that the balance has been forgiven. Forgiven medical debt under this program is generally not considered taxable income.

How do I file a complaint about a medical bill in Wisconsin?

For unfair billing or debt collection practices, file a consumer complaint with DATCP at (800) 422-7128 or online at datcp.wi.gov. For insurance-related billing issues (denied claims, network disputes), contact the Office of the Commissioner of Insurance at (800) 236-8517. For federal debt collection violations, file with the CFPB at consumerfinance.gov or (855) 411-2372.

Can medical debt affect my credit score in Wisconsin?

Yes, but with federal protections. Under rules from the three major credit bureaus (effective 2023), medical debt under $500 is excluded from credit reports, and paid medical debt is removed. Medical debt that went to collections cannot appear on your credit report until at least one year after being sent to collections. Wisconsin does not have a state-level law banning medical debt from credit reports. Never pay a medical bill with a credit card to avoid converting medical debt into regular consumer debt.

Take Action Now

Get Professional Bill Defense

Expert advocates handle everything. You pay only if we reduce your bill.

Advocate Health Financial Assistance Guide

Free care up to 200% FPL, discounts up to 300% FPL

Ascension Financial Assistance Guide

Charity care for uninsured and underinsured patients

Find Hospital Financial Assistance Programs

Browse charity care and financial assistance by hospital

Related Resources:

Advocate Health Financial Assistance•Ascension Financial Assistance•How to Negotiate a Hospital Bill•Medical Bills in Collections•Free Letter Templates•Hospital Financial Assistance•Minnesota Medical Bill Rights•Illinois Medical Bill Rights•Bill Defense Service

Disclaimer: This information is for educational purposes only and is not legal advice. Laws and regulations may change. Always verify current requirements with official sources or consult with a qualified attorney for specific legal guidance. CareRoute does not provide legal services.