When Medical Expenses Become Overwhelming Debt

Many Americans are afraid of getting sick, especially during the current global crisis. However, a recent study reiterated another fear of most Americans have with the medical care system, its unruly debt.

According to Healthcareinsider.com, more than half of the respondents expressed concerns that a health problem or situation would lead the household to significant debt or bankruptcy. The study also saw a pattern where patients would avoid doctor visits or health concerns due to the cost.

And unfortunately, this isn’t a new problem.

Most medical emergencies could easily wipe out a family’s savings or result in huge bills that insurance companies won’t cover. The study even alluded to the issue of health insurance among Americans; some residents lack any coverage while others experience coverage that is minimal to their conditions.

A startling statistic from the findings showed that 39% of the participants ranked health insurance as their highest expense. And with the current crisis, the number may rise dramatically for most Americans.

While the study portrayed bankruptcy as a fear for most residents, it doesn’t have to be a scary prospect.

If you file under chapter 7 bankruptcy, most applicants may eliminate most medical bills and retain their assets in the process. A similar thought is true for applicants under chapter 13 bankruptcy where participants can restructure their medical payments and pay them off in a shorter period.

It could even help cover the gap for treatments that aren’t often covered by insurance plans such as therapy, medications, or other medical products. But you won’t know the extent of the coverage until you work with a bankruptcy attorney to determine your best options.