Health Insurance Holes

Medical care continues to be one of consumers’ biggest costs. Understandably, then, medical insurance is vital. Health insurance holes, though, can leave some exposed. Health insurance may not cover some costs or other procedures. It may cover more but come with higher co-pays. No matter the cause, health insurance holes come with a cost. If you have medical care needs that exceed your insurance coverage, debt can follow.

According to a Harvard study documented in this story, approximately half of consumer bankruptcies are caused by medical bills. Health insurance holes often lead to medical debt. Debt that cannot be afforded.

Like other forms of debt that can’t be afforded, bankruptcy may be a solution. Health insurance holes are a cause of potential debt. Like credit card debt, car repossessions or other unsecured debt, medical bills may prompt consumer bankruptcy. Unlike other forms of debt, though, medical care costs often come with a higher price tag.

If you have health insurance holes that result in uncovered medical bills, those bills are likely larger than your other debts. Tens of thousands of dollars in credit card debt can accumulate over years. Tens of thousands of dollars in medical care costs can accumulate over hours or days. If you are not covered by insurance, dealing with that debt is often impossible.

Given the costs, and repeated increases, in healthcare insurance premiums and co-payments, health insurance holes are increasingly inevitable. If you then need medical care for treatment not covered, debt is an obvious byproduct.

Fortunately, debt derived from medical care, whether through health insurance holes or otherwise, is dischargeable through bankruptcy. This means that if you have medical bills not covered by health insurance, you can eliminate them by filing bankruptcy. As health insurance costs continue to rise, bankruptcy option will offer the only resource to counter unaffordable medical bills.