What to do when your Medical Bills are too High?

In the United States, the treatment costs of a single health-related problem can be expensive and leave you wondering how you can afford it. Even with insurance, the bill can be too much especially if your insurance does not cover enough of the costs. About 46% of U.S adults are uninsured or underinsured which means being left with medical bills that are too expensive is all too common. There are strategies to try and pay off medical bills that become too expensive. Two in five U.S adults have credit scored that were negatively affected by medical bills. It is important to try and find strategies that will help you mitigate your piling medical bills. 

Billing Errors

Reviewing your medical bills can be an easy way to save money on them. According to a U.S Government Accountability Office report, 9 in 10 hospital bills contain overcharges. This means there usually is a way to dispute your medical bills and make them cheaper. This can be done through a few ways that may decrease your medical costs. 

Itemized Bill

The explanation of benefits statement you get does not provide a detailed breakdown of all costs charged to you for medical services. Asking for an itemized bill can help you see what exactly you are paying for and also potentially reduce your costs. This also helps you find any errors in your medical bills. You should always make sure you actually received all of the services and medications you are being charged for. This can help you reduce your costs as medical bills usually overcharge you and getting an itemized bill forces the medical provider to show what exactly they are charging you for. 

Audit and Review

Insurance claim processors can make mistakes resulting in incorrect billing for medication or services that you have not received. Your healthcare provider’s claim managers can review your case and correct any billing errors. Reviewing your insurance plan is especially helpful in case your insurance company did not pay enough of your medical bills. Also, the explanation of benefits statement will show if there is a service not covered. That’s why you should review what your insurance does and does not cover. 

Medical Bill Planning

Restructuring your payments or budgeting your medical bill costs can be crucial to decreasing financial burden in the long term. Creating financial plans and negotiating your bills can save you money in the long term. If you can not pay off your medical bills this is something to consider. 

Payment Plan

If you can not pay your bill in full and on time, ask the billing office staff if they will work with you to create a plan letting you make small payments over an extended period of time. Creating a budget or a payment plan can help ease your mind and slowly get rid of the financial burden that is your medical bills. Also, you can sometimes even get a discount on your bill just by asking. The healthcare industry is increasingly competitive so keeping customers long-term is helpful. It never hurts to ask for a discount as your medical provider may have an incentive to give you one. 

Health Savings Account 

If you have a high-deductible health plan you should consider opening a health savings account to save for costs your insurance company will not cover. The money you contribute to this account is tax-deductible, it grows tax-free and money you withdraw from the account is also tax-free as long as it goes towards qualified medical expenses. 

Takeaways

Medical bills can be overly expensive, but there are ways to try to mitigate those costs. Usually checking your bill and seeing an itemized version is the best way to spot any errors or get a cheaper medical bill. If not, reassessing your insurance plan and asking for a payment plan can help you spread your costs over the long term making it easier to pay back your bills.