Getting large hospital or medical bills isn’t a rare occurrence. It seems like every time we go to a healthcare provider, whether it’s for lab work, an X-ray, or urgent care, we’re hit with bills that seem far higher than we were expecting. Even having health insurance often offers little protection from high medical bills. It is not fair that the system creates so many healthcare cost victims. But there are things you can do to reduce hospital and medical bills.
Reducing Your Hospital and Medical Bills in 3 Steps
In a previous article, we explained The Best Way To Pay Medical Bills In 3 Steps and how to implement each step. Reducing your medical bills starts with applying these steps to each medical bill you receive.
- Call the provider to ask for the itemized bill with CPT codes.
- Look up the CPT codes to verify that the descriptions match the services received. If insured, compare the bills with your Explanation of Benefits. Then, find the amount Medicare will pay using an internet search or AI chatbot (such as ChatGPT).
- Call the provider to arrange a payment plan.
After completing Steps 1 and 2, you’ll have CPT code descriptions and the amount Medicare pays for each code. You may have even uncovered errors or things your insurance company should have covered. After you get your new total, you’re ready for Step 3: Call the provider to negotiate a payment plan for this lower, more accurate bill. However, you may be able to get your hospital or medical bills reduced even further.
Ask About Financial Assistance
Nonprofit hospitals and some for-profit hospitals and healthcare centers offer charity care, financial assistance, or discounted healthcare to eligible patients. These are income or means-based sliding scale discounts that can help reduce or even eliminate your medical debt. Each hospital system has its own eligibility criteria, so be sure to ask the provider or look on the hospital’s website. Explore more about charity care and financial assistance in our article, What If I Can’t Afford Health Insurance?
Other Ways to Negotiate A Lower Hospital or Medical Bill
Ask To Pay A Percentage
If you’re told your income is too high to qualify for Medicaid or hospital financial assistance programs, consider asking the billing department for a deep discount if you pay right away. You could say something like, “If I pay 30% right now, will you write off the rest?” Investopedia.com reports that this strategy can work because the provider saves time and money if they don’t have to spend months or years chasing you for payment.
Paying your medical expenses as a lump sum could save you thousands down the line. The medical debt that could be piling up for years could be resolved quickly if you make a larger payment upfront.
Ask For A Discount If You Give A Down Payment
If you have the resources, another idea is to ask for a 25% discount off the total bill if you make a large down payment and pay the remainder with an interest-free payment plan.
At the end of the day, most of us don’t have tens of thousands of dollars lying around to pay off a big bill. Again, please remember to always ask the provider to give you the lower price Medicare pays.
Medicare prices may be tens of thousands of dollars less than providers’ retail (sticker) prices but, as they say, a little bit of something is better than all of nothing. Paying Medicare rates may mean the difference between being able to make regular payments versus having to claim bankruptcy.
Once all services have been billed and insurance applied correctly, contact the provider to make an interest-free payment plan you can afford. Also, whatever payment agreement you get, make sure it’s put in writing and sent to you for your records.
Never Go Into More Debt To Pay Hospital and Medical Bills
Of course, not everyone has the money to make a lump sum payment or down payment on their health care expenses. But that doesn’t mean you should go into more debt to pay your medical bills.
Never put payments on credit cards, take out loans, or sell your home to pay medical bills, as it will lead to more debt. Learn more about what not to do in our article, Before You Put That Medical Bill On A Credit Card, Read This!
Main Points for Getting Your Hospital and Medical Bills Reduced
- Always apply the 3 Steps to Crush Your Medical Bills to every medical bill you receive.
- Look into charity care or financial assistance programs.
- If you have the resources, you may be able to negotiate a deep discount by paying a large percentage or down payment, upfront.
- Finally, never go into more debt to pay your medical bills with credit cards, loans, or selling your home.
- Find out how Crush Medical Debt can be of further help today!