Unpaid medical bills can take a toll on your life just like the burden on many Florida residents. That’s especially true for Florida Residents without health insurance. People who have insurance are also likely to be affected by high insurance deductibles and copays. However, a startup company called Better was recently formed to help people address out-of-network medical debt expenses. It has announced that it intends to apply its proceeds to settle unpaid medical debt for people who just can’t pay.
While the organization’s goal is to resolve $16 million in medical bills sounds ambitious, the company can buy medical debt at a fraction of the original costs charged to patients. The company partners with RIP Medical Debt, which negotiates with billing agencies to reduce the amounts owed. After Better makes a debt purchase at a reduced rate for a person who cannot pay, it applies its revenue to the debt so that it is forgiven. Its financial model calls for it to receive 10 percent of the amounts that patients ultimately receive back from their insurers.
Surveys frequently identify medical debt as the top cause of bankruptcy filings. In 2015, medical debt expenses in the country exceeded $3 trillion and over 40 percent of people lack the means to pay these bills. One study found that these type of unpaid debts involve one in every five people.
When medical bills lead to financial stress, filing for bankruptcy could offer a viable path to a fresh start. The most common methods of consumer bankruptcy are Chapter 7 and Chapter 13 Bankruptcy Florida filings. It’s important to have a Miami Bankruptcy Attorney to evaluate your finances to determine which Bankruptcy is right for you. After review of your income and expenses, a Bankruptcy Lawyer can determine which bankruptcy chapter is right for you. Schedule your consult today to meet with an experienced bankruptcy lawyer to learn more about how Bankruptcy in Florida is designed to work for you.