Avoid Medical Bankruptcy – Economic Relief From Unlikely Sources

Hospital costs almost doubled between 1997 and 2007.   Health Insurance company  profits rose 430% in the 5 years between 2002 and 2007.    And it is no surprise that bankruptcy filings attributed to medical bills, even for those with insurance, are on a dramatic rise, with some studies concluding almost one-half of all filings in 2001 were caused by medical expenses, and by 2005, two-thirds of all filings were attributable to medical bills.  In May, 2009, 120,000 petitions for bankruptcy were filed.  Now, late in 2009, I would expect all these figures to be even higher.  So that’s probably AT LEAST 4000 bankruptcy petitions EVERY DAY are filed because of medical bills.

I can’t help but wonder how many people were adequately counseled on sources of help with medical bills and income.  Certainly after a bankruptcy, help with ongoing medical bills and income is needed.

Large medical bills usually mean large medical problems, and these would certainly interfere with “the ability to work.”  This medical situation is technically knows as being “DISABLED” [from the ability to work.] Disabilities are either partial, or total, and either temporary or permanent.  Being familiar with employment practices, and with programs at the Federal and state levels, particularly California and Nevada, I would urge anyone with any form of disability to thoroughly investigate alternative sources of both income and for payment of medical bills.  Many of these programs are available without notice to the “disabled” person.

People are often very surprised at what is covered by Workers’ Compensation.   California has a disability program paid for by deductions from every employee’s check, and is available for any medical condition that prevents you from working at your regular job.  Federal Social Security Disability Insurance premiums have been deducted from your paychecks for years, (that’s who that F.I.C.A. guy is!)  and if you qualify, monthly income AND medical coverage is paid.  Even Federal SSI will provide disability payments AND medical coverage to those with a low or no income history.

The list of programs is quite long.  For a list of programs you should investigate, visit my website.