Medical debt is a serious burden for many Americans. Approximately 20 million people in the U.S. owe medical debt, according to the Peterson Center on Healthcare and KFF.
Their recent survey suggests that Americans owe at least $220 billion in medical debt, with approximately 14 million owing over $1,000 in medical debt and about 3 million having medical debt of more than $10,000.
Having thousands of dollars worth of medical debt can be stressful, but oftentimes it is negotiable — a fact that the rich aren’t afraid to take advantage of.
“Rich people negotiate their medical bills down, even if they can afford it,” said money influencer Vivian Tu in a recent TikTok.
Tu shared the three tactics most commonly used by the rich to negotiate their medical bills and pay less.
Educate Yourself on Medical Costs
Many people get a bill and don’t even know what they are paying for or if they are being charged fairly.
“Get an itemized medical bill and go to FairHealthConsumer.org and see what those services should have cost,” Tu said.
Once you know what you should be paying for medical services, you can use this information to negotiate your bills.
Call Your Provider
When it comes to negotiating your bills, Tu said it’s important for you to call your provider directly rather than sending an email.
“Politely ask questions that force the provider to tell you what waivers, discounts and relief plans are available,” Tu said.
She recommends asking the following questions:
- Which of these fees can be waived?
- I know many hospitals have medical bill relief plans. Can you tell me about yours?
- What discounts do you offer for financial hardship?
Ask for a Payment Plan
Having a $10,000 bill can be overwhelming, but it’s often more manageable if your provider allows you to pay over time.
“Ask if they have payment plans available,” Tu said. “Mention that you’d love to be able to pay the bill off in full, but would only be able to do so if some of the fees were waived. This incentivizes an administrator to cut you a break.”
Tu also said to ask if they have a cash pay option, as it’s sometimes cheaper to pay all cash than to go through insurance.
“Last, keep in mind that most medical practices will work with patients to set up monthly installment plans without interest, so you can pay until the bill is paid off,” she said.
More Expert Tips
Scott Speranza, CEO of HealthLock, which helps consumers advocate for corrections and refunds after medical billing errors or care denials, offered a few more tips for saving on medical bills:
- Don’t pay the first bill you receive from your provider. “The first bill you receive is often not final. Insurance adjustments, discounts and corrections may still need to be applied. Paying too soon can lock you into charges that might later be adjusted or negotiated.”
- Always compare your bill with the Explanation of Benefits (EOB) from your insurance provider. “The EOB outlines what your insurance covered and what you may owe. Look for discrepancies between the EOB and the bill. If you notice any, request an itemized statement from your provider, which can make it easier to identify errors. After errors are corrected by your provider, contact your insurer to make sure the claim has been processed correctly.”
- Don’t be afraid to ask for a discount. “Providers today would rather offer a discount and get paid sooner than wait for insurance payments. Ask about payment plans or hardship discounts if you’re unable to pay the full amount upfront.”
