Two-Thirds of Bankruptcies Involve Medical Debt

Becker’s Hospital CFO Report: “Bankruptcy linked to medical debt remains common despite passage of the ACA, with two-thirds of debtor respondents citing it as contributing to their filing, a study published Feb. 6 in the¬†American Journal of Public Health found.”

“The study, conducted by two physicians, two attorneys and a sociologist from the Consumer Bankruptcy Project, surveyed 910 people in the U.S. who filed for personal bankruptcy between 2013 and 2016. Researchers abstracted the filers’ court record data and mailed a questionnaire to them.”

“More than half of respondents (58.5 percent) ‘very much’ or ‘somewhat’ agreed that medical expenses contributed to their bankruptcy, and 44.3 percent cited illness-related work loss as a contributor. Two-thirds of respondents (66.5 percent) cited at least one of those two medical reasons, which researchers said represents about 530,000 medical bankruptcies annually.”

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