Medical Bills Leading Cause of Chicago Bankruptcy Filings
A USA Today analysis of government statistics found that uninsured Americans leave hospitals with unpaid bills of up to $49 billion per year.
Medical bills are the leading cause of bankruptcy filings in the United States, a Harvard University study found in 2009. According to Bloomberg Businessweek, 78 percent of the 2,314 bankruptcy filers in the study had medical insurance at the start of the illness. The study revealed that those people had more than $5,000 in medical bills, mortgaged their home to pay for the bills or lost significant income because of an illness.
Chicago bankruptcy lawyers know the frustration that people have when a catastrophic medical emergency threatens to wipe out their savings account or sends them spiraling into uncontrollable debt. Consult with one of our dedicated bankruptcy attorneys today to figure out how to salvage your financial future.
According to USA Today, on average, uninsured families can pay only about 12 percent of their hospital bills, compared to families above 400 percent of the poverty level, who pay about 37 percent of their hospital bills in full. A family of four with a household income of $88,000 would be considered 400 percent above the poverty rate.
Researchers also found that most people who have no insurance also have no savings, and about 33 percent have no financial assets.
According to the American Bankruptcy Institute, more than 80,000 people in Illinois filed for bankruptcy in 2010. That is a 94 percent increase from 2007, when about 41,456 people statewide filed for protection under bankruptcy laws.
It can be difficult to fend off calls from hospitals, specialists and other medical professionals when you're trying to recover. A bad accident that wasn't your fault or an unexpected medical emergency can leave you reeling in debt. But the good news is you don't have to do it alone.
Whether you need to consider Chapter 7 bankruptcy or Chapter 13 bankruptcy, let Chicago Bankruptcy Lawyers help you use the law to your advantage. Take our free personal debt analysis and then call. Filing for bankruptcy may be an avenue to get rid of medical bill debt that you can't seem to get away from.
If you need to speak to a Chicago bankruptcy attorney call the DebtStoppers Bankruptcy Law Firm at 800-440-7235 today for a free debt analysis.