Medical debt is one of the main reasons that lead Coloradans to bankruptcy. But before considering such extremes, you can get your medical debt negotiated to restore your good financial position. Just don’t lose hope and try following our effective strategies to successfully negotiate medical debt.
The health care cost is rising gradually which is also leading to many financial problems. The patient and their families have to go through many tough times in order to meet high medical expenses. Which further results in credit card debt, second mortgage loans, spending all the savings and even losing their home!
This happens because most Denver area employees get medical insurance through their employment. Luckily right now Colorado is experiencing very low unemployment. But, those who lose their jobs have to manage their medical bills all by themselves causing piled up medical debt. Even those who’ve done their medical insurance encounter hardships in paying medical debt due to job loss or reduced-income.
All these circumstances often lead them to bankruptcy. According to a study done by American Journal of Medicine, 62.1% of all bankruptcies filed in America are medical bankruptcies. Even three-quarters of these medical bankruptcy filers already had medical insurance. But illness and reduced income were the top reasons that have led them to this unfortunate future.
Are you also among those who are mired up with medical debts? Then don’t lose hope. Because you have options to consider before finally going bankrupt. Here are some ways to help you negotiate and settle down your medical debt.
Steps to Negotiate Medical Debt Bills
Don’t forget that even if you can’t afford your medical costs. You still have options available and here is how they work.
If it’s not an emergency, then you should contact your medical service provider and ask them about the estimated cost. If you complete this step before starting the treatment, then your chances of getting some discount increases. Also, you can compare the estimated cost with your income and savings to know whether you can pay it. If you feel like the cost is way too high that you cannot afford. You can move down to follow the given steps. Conversely, if you prefer to take some action after the debt collectors have already started making calls, it’ll make negotiation difficult.
Check if You Qualify for Medicaid
Medicaid is a government’s incentive to cover the medical cost of those who are financially less stable. The eligibility criteria differ from state to state. But essentially it facilitates those having limited income and resources, disabled and elderly patients or pregnant women. However, you can easily check your eligibility on the official website here. Also, there is no need to be embarrassed about it. As this is your right and you should avail this opportunity to get your medical debt paid by the state. But Medicaid also has a time limit, so you need to apply as early as possible. If you do not qualify for Medicaid there are other options for Colorado residents. Check ConnectforHealthco.com for options.
Ask for Discount
If you don’t qualify for Medicaid, you can still request the doctor or billing department to give you a discount. You just need to honestly tell about your situation and current income level. Most hospitals are willing to offer discounts to needy patients, but you need to ask first. Again, there is no need to feel embarrassed here as financial problems can happen to anyone. In case you get successful at negotiating a discount with the hospital management, better get it in writing. It will further help to seamlessly complete the treatment.
In case you request for discounted fee gets declined. There is another strategy to negotiate medical debt. Simply offer them to pay in cash and the doctor or hospital management will be more than willing to accept. This is, in fact, the most effective way to say, “lower my fee”. Because it will help them to save credit card fee and other paperwork. You can do this even if you have insurance. Many times the cost is lower for cash than your deductible.
Negotiate Medical Debt With a Payment Plan
Hospitals have to spend a great deal of time and effort to recover their fee from non-payers. In such a situation, the hospital will be happy to accommodate someone who’s at least willing to make payment gradually. Some hospitals also charge interest on monthly payments but it’s still a better option to negotiate medical debt. If your circumstances change in later months, you can ask them to modify the contract to suit your needs.
Talk to An Experienced Bankruptcy Attorney
The legal advice that you can get from a bankruptcy lawyer sometimes prove more effective than your own strategies. If you are drowning in medical debts and don’t find a practical solution. Talk to Barry Arrington – an experienced bankruptcy attorney in Denver – he will thoroughly analyze your case and tell if bankruptcy is best for you or not. Because he is only concerned to end your financial troubles by giving the right advice!