Lawsuit filed against eastern NC hospital system for deceptive billing, debt collection practices

A patient filed a lawsuit against Vidant Health accusing the hospital system of deceptive billing, overcharging and using manipulative collection practices.

Posted 10:05 p.m. Feb 23, 2022 — Updated 10:46 p.m. Feb 23, 2022

Maggie Brown

, WRAL multiplatform producer

GREENVILLE, N.C. — A patient filed a lawsuit against Vidant Health accusing the hospital system of deceptive billing, overcharging and using manipulative collection practices.

George Cansler, from Edenton, is accusing the hospital system of not properly informing him about how much his medical care would cost.

The lawsuit accuses the health system of charging Cansler more than 13 times the standard rate for a CT scan.

Cansler is demanding that Vidant Health reimburse him and anyone else who was overcharged.

"Because of the ever-rising costs of health care, many group and individual private insurance plans have high deductibles or other mechanisms that place a significant payment obligation on the consumer," the lawsuit claims. "Healthcare consumers are in a unique posture to be exploited by a revenue-minded hospital system because they generally do not know nor consent to the costs prior to the service. Rather, they reasonably assume that the hospital system will have the integrity to use reasonable prices."

Cansler received a CT scan in 2018 that cost $302 according to Medicare rates at the time. Instead, Vidant Health charged him $4,000, the lawsuit claims. The hospital network did not inform Cansler of this elevated price until after he received the scan, the suit alleges.

For other similar common procedures, the lawsuit claims that Vidant Health charged patients more than 10 times the rate that Medicare would.

The lawsuit said that Vidant Health coerced Cansler into payment by "threatening their credit score and engaging in collection efforts" and did not give Cansler enough time to pay his bill on time. Vidant Health repeatedly sent patients medical bills threatening shorter payment deadlines in each bill, the suit alleges.

Hospital officials with Vidant Health said in a statement to WRAL News that as of 2021, the health system is in compliance with all state requirements to be transparent in their pricing. Vidant Health officials said they now have an online tool that helps patients understand how much a procedure will cost.

A spokesperson with the health system asked WRAL News to publish this statement:

“The narrative presented in the press release promoting a class action lawsuit is inconsistent with Vidant Health’s values as a patient-centered, mission-driven, not-for-profit organization. Vidant is committed to partnering with patients to ensure they have the support they need to successfully navigate their health care journeys. In addition to a dedicated team of case managers who help patients understand their bills, set up payment plans and provide charity care in all applicable cases, Vidant has transparent pricing resources available online for any patient or prospective patient to reference. Importantly, all Vidant hospitals are fully compliant with all federal pricing transparency regulations as confirmed by the North Carolina Attorney General’s Office.”

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