Help With Medical Bills | MedicalBillsHelp.org

Healthcare costs have been steadily increasing, but you can lower medical costs through cheap healthcare or, in some cases, free healthcare.  You should understand the impact that medical bills can have on you and what you can do to help yourself and your family.

Medical Bill Assistance Programs

There are public and private programs to help deal with healthcare debt and also offer low-cost or free care.  With respect to paying medical debt, there are federal and state legal protections prohibit aggressive medical debt collection practices.  There are programs that help settle debt and restructure payments.  Charities and other non-profit organizations will help you plan how to pay off healthcare expenses and some offer grants to help you make payments.  Programs can also offer discounted or free healthcare services, such as prescription drug benefits, to help prevent additional debt.

Bankruptcy Due to Medical Bills

A study by the American Journal of Medicine noted that 60 percent of bankruptcies are the result of medical bills.  Out-of-pocket healthcare expenses such as insurance premiums, co-pays, deductibles, over-the-counter drug prescriptions, and numerous other costs can create an insurmountable financial burden.  Those that declare bankruptcy are primarily well-educated, middle-class homeowners with health insurance.

Declaring bankruptcy because of medical debt may be a viable option for dealing with healthcare costs.  Two options for bankruptcy are Chapter 7 and Chapter 13 bankruptcies.  Under Chapter 7, unsecured debts are discharged.  Unsecured debts are those which are not tied to property and medical bills usually fall under this category.  Chapter 13 usually involves a debt repayment plan and applies when there are both secured and unsecured debts.  Either way, bankruptcy should be the last resort.

Negotiating Medical Bills – A Better Option

Negotiating medical bills can also help reduce total medical debt.  A common myth is that only health insurance carriers can negotiate discounts for cheaper healthcare.  While it is true that carriers do often get discounts averaging 60 percent according to the Director of the Johns Hopkins Center for Hospital Finance and Management, individuals can also negotiate for lower bills.  However, discounts are available for those without insurance because providers are not being paid the full rate by insurers.

Follow these steps for cheaper healthcare through negotiation:

1. Offer to pay some or all of the medical bill up-front.  The guaranteed payment often results in at least a small discount.
2. Research reimbursement rates to understand what providers are being paid so you have informational leverage.
3. Negotiate before the procedure.  Hospitals have discretion to provide discounts, but you have to ask for it.

Bankruptcy and medical bills have the unfortunate habit of going hand in hand for many people.  Fortunately, medical bankruptcy is like most kinds of disasters, since one usually has many chances to steer away from the worst case scenario.  The following ideas will help an individual who cannot rely on health insurance to keep their medical bills moderate enough to actually pay them.

The first step toward receiving adequate health care without using insurance is to select medical facilities that offer free or low-cost services to patients in need.  While this can be difficult for an emergency room visit, this is among the most important questions one should ask a doctor they are considering seeing.  Make certain everything is in writing, as medical facilities often either make mistakes or outright deceive patients.

Plan Ahead

Often a medical bankruptcy is caused by a bill that gets out of hand due to a large number of expensive services.  For example, hospital stays are often thousands of dollars per day. Whenever an individual suspects a hospital stay is in their near future, they need to find out:

1. Whether the facility offers free or deeply discounted medical services

2. If the patient can trim their bill by being an outpatient, or by minimizing the length of their stay

3. How they can reduce costs in other ways, such as by bringing in their own medications

4. Who can sit by their side during the stay to document every procedure performed and medication administered

Advocates are among the most powerful aids a patient has in their effort to keep the tab reasonable.  Hospitals frequently make mistakes, as less than 20% have a central database for patient records.

Get Organized

Far too often, an individual who attempts to negotiate their medical bills does so in a disorganized fashion.  When speaking to hospital staff over the phone, a patient needs to keep a spreadsheet detailing the conversation.  This spreadsheet provides proof if the issue later goes to court.  This spreadsheet needs to contain nothing less than:

1. The times of calls made and received

2. The individuals spoken to

3. The important points of the conversation

The final step toward keeping bankruptcy and medical bills separate is to contact agencies that help pay for medical care.  Never pay an agency in advance, and ask for documentation of its status if the company claims to be government affiliated in any way.

The Process

Negotiating your medical bills might seem like a difficult thing to do, but it isn’t really. You just need to follow a few steps and be polite, but firm. Here are the steps you should take if you want to begin bargaining your medical bills.

1. Go over your bill to make sure that you were charged correctly in the first place
2. Call your hospital or doctor and ask to speak to the billing department. A direct phone line may be included in your bill.
3. Have your account number ready
4. Make sure that the bill has been processed by your insurance company if you have insurance. Sometimes, if an insurance company does not pay promptly, you may receive a bill. If this is the case, ask the insurance company to re-submit the bill to the insurance company.
5. If you do not have insurance, ask if there are any discounts available that may be applied to your balance. Hospitals usually have several charity funds that can be used in order to pay for bills. Private doctors and therapists may not have such a fund.
6. If you do not have health insurance, ask what the insurance rate would be and ask if you can have that rate instead of the self-pay rate. Insurance companies do not pay the total bill, instead, they pay a percentage of the total bill. Many companies will agree to bill you using insurance company rates. Some companies do offer discounts for people that have no insurance. Usually, you must ask to receive the discount. Sometimes, you will have to fill out documentation in order to receive a discount.
7. The next step in the bargaining with your medical bills is to determine a payment amount to pay each month. After all discounts have been received you can figure out your payment amount. Many medical establishments want at least $25 a month towards a bill. If you can not make such a payment, find out how much you must pay in order to have the bill not be turned over to a collection agency. Usually, that is $5.
8. Some companies may refuse to accept your payment offer in an attempt to intimidate you. Remain firm and refuse to pay any more than you can afford.

It may seem intimidating at first, but if you follow these tips, negotiating your medical bills can be a manageable process.

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It was once said by Ralph Waldo Emerson that “The first wealth is health.” However with the significantly increasing cost of healthcare seems only to make health accessible to the wealthy. The good news is that there are programs, medical bill grants, medical bills help and tips out there that can help you cope, and allow you and your family to lie in optimal health without fear of costs.

Government Assistance

In terms of programs, the most immediate course of action is to contact the nearest Department of Human Services (DHS) office. This government funded program simply requires an application to be completed and submitted. This application will ask about financial information, criminal record, dependents, etc.  Based on their set criteria and financial availability you may be accepted within the program. Once accepted, free medical, dental, and vision care is provided. This includes medications along with prescriptions. Over 50 million uninsured Americans currently use this program for medical bills assistance.

Another effective program made by United States Department of Health and Human Services is known as the Health Resources and Services Administration. This is a directory of federally funded clinics and health centers that low to no cost healthcare services and medical bills assistance. When payment is involved, the patient gives what they can based on their income, and federal funding covers the rest as medical bill grants.

Finally there is Rx Assist. Unlike the previously mentioned organizations, Rx Assist is run by pharmaceutical companies rather than the government. They work with patients to help them access free or low cost medical bills help and doctor visits.

Negotiate Medical Bills

With the cost of healthcare on the rise, so should your negotiating skills. Did you know that only 15% of all patients requests discounts from hospitals? Out of those people, 40% of them will receive one. That is because many hospitals carry a payment policy that gives discounts to those who are able to prove that they cannot afford to pay their bill.

The first step is too simply ask.  The second trick is to be consistent in your demands. The third trick is your trump card. Cash.  Many times, doctors lose money to companies such as credit cad companies because of transaction fees.  Let the provider know you can’t afford it and they will work with you right away.  In the end, if you remain polite, patient, and consistent your medical bills can drop significantly.