| 4 Tips to Escape Medical Debt and make Bills Behave |
 |
 |
 |
| Written by James Williams |
| Monday, 23 March 2009 11:57 |
|
These days, it seems everyone is struggling to pay off debt. Some have mounting credit card bills. Others fight to pay down student loans. But the primary burden of debt on the shoulders of a growing percent of the population is debt related to medical bills. It can take only a few hours to rack up thousands of dollars of medical debt, and it will likely take years to pay it off. The rising cost of medical care and the resulting debt load is now a key factor in many divorces across America.
These days, it seems everyone is struggling to pay off debt. Some have mounting credit card bills. Others fight to pay down student loans. But the primary burden of debt on the shoulders of a growing percent of the population is debt related to medical bills. It can take only a few hours to rack up thousands of dollars of medical debt, and it will likely take years to pay it off. The rising cost of medical care and the resulting debt load is now a key factor in many divorces across America. Unfortunately, very few practical solutions are presented to help with the issue of medical debt. Health care reform is great in theory, and may one day bring some relief, but it does little to assist with bowel procedure you have scheduled for next week. To that end, here are four tips you can use immediately to reduce medical bills and taper the growing debt load many are faced with. 1. Shop Around. This is for those who read this BEFORE they procure another hospital bill. Many people seem to think that most doctors and hospitals charge about the same. Not so, my friend. They vary in price as much as your neighborhood Plumber or Electrician. Some assume that since they have insurance, they shouldn't worry about the cost of individual procedures. Again, not so. If you have insurance, you still have to pay deductibles and often some percentage of the total bill. Bottom line, shop around. 2. Request an Itemized Bill. Others businesses make mistakes, why not hospitals? There is always a possibility that you may be charged for a service you didn't have or billed a super-hefty price for insignificant items, like syringes. Most hospitals do not give you an itemized bill as a matter of practice, so you need to ask for one. This could save you several thousands of dollars if significant mistakes are caught. 3. Look out for Medical Codes. The medical industry has developed a coding system for diagnosing and treating common health issues. Every billable procedure will get a code so the insurance company knows how to deal with it. So, why do you need to concern yourself with such detail? It may be best explained by this example. Assume you have had migraine headaches in the past. One day, you have to go to the emergency room due to pain in your forehead. The doctor on staff discovers it is a simple sinus issue and sends you on your way. When he writes everything up, he may code the diagnosis as a sinus headache, or he may just use the code for a migraine. Maybe he had it on his mind because he read it in your chart or you mentioned it while you were being examined. Anyway, if your insurance company has migraines down as a pre-existing condition, guess what, they are going to deny any claim. In this situation, it is rarely helpful to deal with the insurance company directly. It would be better to talk to the physician who helped you, because if they realize their error, they can simply resubmit the paperwork and clear the whole thing up. 4. Request a Discount. Everyone knows someone who is either without medical insurance, or is lacking significant medical coverage. For example, securing an independent insurance policy that covers maternity is near impossible these days. But if you find yourself without insurance, you may be eligible for a discount. The cost of filing insurance claims has driven costs higher for doctors and hospitals, and they have responded by increasing the prices you pay. However, in many cases, if you pay them directly and thus absolve them from having to file insurance paperwork, they may cut their prices dramatically. Other discounts may be given for up-front payment or early registration. Do inquire about discounts any time you are facing a significant medical procedure. DISCLAIMER: This article is provided as information only and is not to be taken as financial advice. James offers tips, tricks, and common sense advice about how to reduce debt on his website about debt reduction. |