Health Insurance May not Prevent Medical Related Bankruptcies
Brandon, FL (Law Firm Newswire) June 20, 2012 - A good health plan can prevent financial disaster, but when deductibles are higher than a patient can handle, insured individual may still require a bankruptcy.
Americans look to insurance policies to be there when something unpredictable happens. Whether it’s an oak limb falling through the roof, an expensive car accident, or someone's health, people assume that having coverage means they don't have to worry.
However, with rising health care costs and higher health insurance premiums, some people are raising deductibles to unsupportable levels. At some point, a deductible becomes so high that it’s essentially useless.
“Medical expenses have made up a significant number of bankruptcies for almost twenty-five years,” said Tampa bankruptcy attorney, Reginald Osenton of the Osenton Law Offices. “With more high- deductibles or employers shifting to higher deductible group health plans to save money, a lot of people with health insurance are still at risk of hitting financial hardship.”
In Florida, employers have access to group health insurance plans that can exceed $15,000. These plans are often paired with low co-pays for common doctor visits, blood tests, ex-rays, and prescriptions. But if something catastrophic takes place, such as a heart attack, the insured patient would still be liable for their deductible of $15,000.
While some employers may provide a menu of plans that their employees can choose from, thus allowing them to decide which plan fits their needs best, other companies have one plan that applies to all their employees. In such cases, the employee is stuck with whatever plan the employer offers, which may not be enough.
“The employee has insurance and now also has a mountain of debt. If they are diagnosed with something that is recurring, they could have to meet a high deductible year after year. Over time, that could lead to unsustainable medical payments that a bankruptcy could alleviate,” said Tampa bankruptcy lawyer, Osenton.
Osenton Law Office, PA
500 Lithia Pinecrest Road
Brandon, Florida 33511
Call: (813) 654-5777
- Why you may need a parental power of attorney
If you are the parent of young children, you may occasionally need to leave them in the care of a close friend during a quick business trip, or perhaps with the grandparents while you take a kid-free holiday. Or, you may routinely leave your children in the care of a nanny. When and if you […]
- Special Limits on Wage Garnishment
In a previous blog post, http://www.brandonlawoffice.com/2016/06/heres-how-much-of-your-wages-can-be-garnished-to-pay-your-debts, we covered the broad limitations that federal and state laws place on wage garnishment. Wage garnishment is when a creditor sues you to have part of your income diverted directly to them to pay your debts. There are certain general limitations on how much of your income may be […]
- Here’s how much of your wages can be garnished to pay your debts
If you do not pay your debts, your creditors may try to take a portion of your income directly from your employer. This is called wage garnishment. Fortunately, there are limits to how much of your income may be garnished so that you can hopefully keep paying your basic living expenses. The limits are based […]
See other news sources publishing this article. BETA | Tags: brandon custody attorney, brandon custody lawyer, brandon divorce attorney, brandon divorce lawyer, brandon family law attorney, brandon family lawyer, brandon lawyers, tampa custody attorney, tampa divorce lawyer, tampa family lawyer