According to a recent report out of Chicago, “The leading cause of personal bankruptcy in the U.S is due to medical debt. Nearly one in five Americans have delinquent medical debt on their credit reports. That includes 1.2 million people in the Chicago area who owe nearly $1 billion, according to data compiled by Mike Antico of RIP Medical Debt.”*
And that’s just Chicago!
So how can you avoid this you ask? Here are a couple of quick and easy tips to help navigate the difficult world of medical bills:
1) Review every bill carefully! This may seem obvious but a lot of people don’t. Especially if the bill is under $50. For example, did you know that all preventive care visits do not require a co-payment? If you took your child for a routine visit or had a physical recently, you most likely don’t have to pay that bill. The one caveat is that if there was an additional diagnosis made at that visit, the co-pay may apply. Just think, spending a couple of minutes on the phone could save you some green!
2) Compare the bill against the After Visit Summary (AVS). You should always receive an AVS for each visit. You can easily compare what the visit entailed against what the bill or EOB says. One of the most common billing errors is having a procedure or medication entered incorrectly. It is an easy mistake to make since there are so many codes for each and they are all very similar. One wrong key stroke could cost you thousands of dollars! A common one I found was that our child’s doctor’s office would bill the office visit as one bill and his vaccines as another visit when in fact they all happened at the same time. One would be denied and the other was allowed. One phone call had those charges reprocessed.
3) Educate yourself! Know that basics of your insurance plan - deductible, co-pays, co-insurances, out of pocket limits. Even the basics will help you navigate your bills and what is correct or not. You can check out the previous blog post for more information.
4) If a bill is denied, keep working to reduce the cost. You can appeal the denial or write a letter of special consideration to the insurance company, have your provider write a letter of medical necessity and/or negotiate the cost down with the provider.
5) If you have any questions, CALL! If there is even a passing thought that something might be incorrect, call the billing department that sent the bill first. If that doesn’t answer the question, call your insurance company next. Don’t have the time, that’s where Settled EOB can help! It’s what we do!
I hope these tips help you navigate these tricky medical bills. If you ever need help, Settled EOB is just an email or phone call away
415-894-5830