Managing High Medical Debt
Every year as medical costs skyrocket and insurance offers less coverage, many people struggle with ever-growing financial burdens. Medical debt is a huge issue and causes extreme financial struggles for millions of Americans. Medical debt most often results from an event, trauma, or injury that is unpredictable and costly – such as an accident or sudden illness. Medical debt comprises the largest percentage of all debt payments received by third-party agencies, and it has a significant impact on consumer credit. Medical debt has caused millions of people to use up their entire retirement savings only to still end up in financial crisis.
The recent recession and changes in the healthcare system has only intensified the problem. While Obamacare has promised to lower insurance costs, many people have unfortunately found that they may pay less for monthly premiums, but when they need to use their insurance they are not covered, and medical debt begins to grow at an exponential rate.
In 2013, it was found that unpaid medical bills have become the number one cause of bankruptcy filings. So what do you do if you are having trouble paying off your medical bills? Some people find that they are successful at negotiating their medical bills. It is always important to request an itemized invoice from your doctor and/or hospital and read each line on the bill. People are often surprised to see duplicate charges and/or unreasonably high charges, such as $22 for two Tylenol or $10 for a box of tissues. These charges can be disputed, and you should never hesitate to challenge overcharges, double billing, or anything else that seems unfair.
Over half of all bankruptcy fillings have been tied to health care expenses in the attempt to “wipe out” debt and begin again with a clean slate. At Gingold and Gingold, LLC, we are here to help our clients navigate the waters of high medical debt to determine the best steps toward financial success in the future. If your medical debt has skyrocketed, collectors are harassing you, or you are in danger of losing your home, please contact our practice today.