The cost of healthcare is astronomical, whether or not you have insurance. One emergency can easily set the family budget off-kilter, and a persistent health challenge can be crippling in more ways than one. 80% of people who file bankruptcy due to medical debt are insured. So, although we like to think that we’re safe from medical debt thanks to our insurance, that’s certainly not always the case.
No matter how hard we try to be healthy, life always throws us curve balls. You can’t assume that you’ll never have to confront major medical bills. So, what can you do? Here are a few tips that can help you prevent and manage medical debt:
1: Negotiate Costs
This may sound crazy to someone who hasn’t had experience maneuvering around the complexities of medical bills, but the truth is that there IS wiggle room. In fact, that’s exactly what insurance companies do: they evaluate the charge and barter it down. You, however, don’t have the advantage of being a professional who knows exactly how much each procedure and test should cost. In order to be more knowledgeable, do some comparison shopping. Ask different hospitals what the average cost is, find out how much insurance companies pay for, and then come to your healthcare provider armed with that information.
The good news is that when you negotiate, you will find (1) that many hospitals are willing to be flexible on pricing, and (2) that there might be resources you wouldn’t have known about had you not asked. Some have financial assistance programs, others remove fees if you’re able to pay the whole thing up front. Just remember, in order to negotiate a bill, you’ll want to act fast, instead of only reacting once the bill is overdue. Because of the slow billing process (especially when insurance is involved) this might require you to be proactive and to ask for your own bill.
2: Keep Vigilant Records
Hospitals and doctor’s offices are not exempt from errors. Mistakes in billing often get overlooked by patients because it’s difficult to understand all the things that went into your medical treatment. It also gets complicated when there’s a big delay on billing. You might not be able to remember exactly what happened which day, and whether you already payed a certain amount. So, be meticulous about billing from the beginning. Keep track of dates and amounts. Ask about procedures as they come. And if you have a question about a bill, ask!
3: Know Your Insurance Inside Out
Insurance providers are supposed to be patient advocates. Unfortunately, however, nowadays they mostly consist of slick maneuvering to pay as little as possible on your behalf. That’s why it’s important that you don’t just get insurance to have it. Know your insurance. Know what they do and do not cover and factor that in when you’re making decisions about your healthcare. For example, is your insurance an HMO? This means that you’ll only get coverage if you go to a facility or doctor that’s in-network.
4: Ask for Prices before Treatment
It might seem like an indelicate question, but you as a patient have a right to ask whether certain procedures are necessary, and how expensive they are. Often, just bringing up the question will let your doctor know that they should reconsider careless spending in your treatment. For example, often cheaper options for medications are available if you just ask. Other times, you can have an outpatient procedure done, with proper scheduling, for much cheaper than an overnight stay in the hospital would cost.
5: Get Help
Weigh the advantages and disadvantages of advocates, payment plans, and medical credit cards. Sometimes, you’ll find it helpful to get some extra help in paying for your bills. This might consist of setting up a payment plan or medical credit card. This can be advantageous, but make sure that you know all of the conditions. How much extra will you be paying for interest? Are there additional fees and charges? How can it adversely affect your credit? A professional medical advocate can also be helpful, since they can use professional experience to determine which charges you should dispute. However, again, you should make sure that you understand what their charges and cost will be to you.