5 Nov 2025 11:42 am
Funny thing (funny strange) about “the richest country on earth”
“Common Cause: “
Studies have consistently shown that medical debt is a primary driver of U.S. bankruptcies. Research published in the American Journal of Public Health found that two-thirds (66.5%) of those who filed for bankruptcy cited medical issues, including the bills themselves or income loss due to illness, as a contributing factor.
- "Medical Bankruptcy" Is Not an Official Term: There is no specific type of bankruptcy called "medical bankruptcy." Instead, medical debt is an unsecured debt, similar to credit card debt or personal loans, and is handled through standard personal bankruptcy filings, most commonly Chapter 7 or Chapter 13 bankruptcy.
- Even Insured Individuals Are Affected: The issue is not limited to the uninsured. A significant portion of individuals facing medical bankruptcy were middle-class, college-educated homeowners who had health insurance at the time they incurred the debt, indicating that even with coverage, out-of-pocket costs can be unmanageable.”
