Financial assistance policy (FAP)
Updated September 30, 2026
Definition
A nonprofit hospital's written rules for free or discounted care. It explains who qualifies, how to apply, and how the hospital figures what you're charged.
A financial assistance policy (FAP) is a hospital's written plan for helping patients who can't afford their bills. Federal tax rules require nonprofit hospitals to have one. It says who can get free or discounted care, how to apply, and how the hospital sets the amount it charges.
The hospital must post the policy, the application, and a plain language summary on its website. It must give you free paper copies if you ask, by mail or in person. Your billing statements must also tell you that help is available. You may see signs in the emergency room and admissions areas, too.
Each hospital sets its own income limits, so read the policy for the hospital that billed you. You can often apply even after you get a bill. Our guide to hospital charity care walks you through it.
Related terms
Guides that use this term
- GuideHospital charity care: do you qualify and how to applyHospital charity care can lower or cover your bill. See who qualifies, the 2026 poverty guidelines, your rights at nonprofit hospitals, and how to apply.
- Start hereCan't afford your medical bills? Every option, in orderCan't afford a medical bill? Here's every option in order, from checking the bill and charity care to payment plans, collections rights and your credit.
- GuideInterest-free medical payment plans: how to askHow to ask for an interest-free medical bill payment plan: a phone script, how to pick a monthly amount, and what to get in writing before you agree.
Sources
- Financial assistance policies (FAPs), Internal Revenue Service. Accessed September 30, 2026.
This is general information, not legal or medical advice. Rules can depend on your plan and your state. Romi Care isn't an insurer, law firm, collection agency, or government program.