Bankruptcy Concerns Continue to Shape Americans' View on Health Care

 

Households earning less than $40,000 a year are more than four times likely to be carrying long-term medical debt than those earning $100,000 or more.

A recent Gallup poll indicated that half of U.S. adults fear that a major health event could lead to bankruptcy, which is an uptick from 45% in 2019. According to the report, 15% of adults say at least one family member of their household has medical debt that they will not be able to repay within the next year. But if medical debts are going unpaid, it might not be for lack of trying.

Per the report, 26% of respondents would need to borrow money to pay a $500 medical bill, with 12% using a credit card or a loan from a financial institution and 14% soliciting aid from a family member or friend. For some persons, these forms of borrowing could ordinarily be characterized by prompt repayment such as simply paying off the credit card at the end of the month, but for many others, it is likely to feed into a cycle of accumulating medical debt that cannot be readily repaid.

Here are a few strategies to help lower your medical bills

  • Get an Itemized Breakdown. It’s hard to know whether the bill is correct if you don’t know what you’re paying for.

  • Check for Errors. It’s helpful to keep in mind that the numbers in your bill can be wrong. Medical billing is complicated, and mistakes can be made.

  • Master the Art of Negotiation. It will be helpful to first visit websites such as www.healthcarebluebook.com and www.FairHealth.com to compare pricing in your area on the health services you received.

  • Ask About Income Based Pricing. When you talk to the medical office, it’s best to be honest about your financial situation. Ask them if they have income pricing if you don’t have a lot of money coming in.

  • Find Outside Resources. One resource that can help with unpaid or looming medical bills is www.PatientAdvocateFoundation.org.

    Even if you still end up owing money, going through these steps could end up saving hundreds, even thousands of dollars.

 

When is the Open Enrollment period for Medicare?

Questions Remain After Treasury Guidance Implementing President Trump’s Payroll Tax Deferral