Address the scenario listed below. Support your response with appropriate cases, laws, and other relevant examples research and cite research, using APA guidelines.
Who Pays the Bill?
Juanita was rushed to the hospital complaining of a severe headache. While the emergency room doctors examined Juanita, her mother, Estella Loren completed the documentation the hospital administration required. The documents included the standard health questionnaire, the HIPAA notice, and release of insurance benefits directly to the hospital. The insurance document contained the following statement. "If insurance coverage is insufficient, denied altogether, or otherwise unavailable, the undersigned agrees to pay all charges not paid by the insurer." The doctors performed surgery on Juanita to stabilize an aneurysm in her brain; however, she died several hours after the surgery was completed. The insurance company refused to pay $11,235.56 of the charges, and the hospital sued Loren for the unpaid balance based on her signature on the insurance form. Loren argues that she is not liable because she signed the document as an agent for her daughter. Is Loren liable? Explain why or why not.