The Financial Impact of Big Medical Bills

Axios: In any given year, one in six families will make an “extraordinary health care payment,” according to a new study in Health Affairs.

An “extraordinary” payment is defined as a payment of at least $400 and 1% of annual income, as well as being significantly above the family’s average monthly health care spending.

  • Between 2013 and 2015, these payments averaged more than $2,000.
  • They also had a lasting impact on the family’s finances: A year after making the payment, liquid assets were still down by 2% and credit card balances up by 9%.

For more information on the issues surrounding medical debt, please contact RIP Medical Debt.