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Financial Journey
(featured column)
Multiple
Ways to Save on Medical Costs
by
Karen Kuebler
It goes without saying that with rising
costs, we are all affected and looking for ways to save money wherever we can.
Medical costs are also rising, and if you are experiencing serious health
problems or just finding your medical bills adding up, the ideas to cut back on
medical costs aren’t always obvious. More...
Our family is not exempt from serious health
issues. We have had to struggle with a couple of surgeries, as well as a serious
illness, over the past several years. I am going to share ideas that we have
used to help trim expenses, as well as suggestions I have given to friends who
have had serious problems and lacked adequate insurance to cover their medical
needs
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your situation with people in a position to make a decision about your
financial bills. A close friend of mine was recently diagnosed with a rare
autoimmune disorder. She had to go to Mayo hospital for a week in order to
receive the final diagnosis because her symptoms were so strange that it
wasn’t easy for local doctors to reach a conclusion. Her medical bills for
the week were $20,000. She checked to see if she would qualify for some
financial aid due to their low income and low insurance coverage.
Unfortunately, she didn’t succeed with that approach. I suggested she
write a letter to Mayo, explaining their situation, while being as thorough
and honest about their life circumstances as possible. We were both excited
when the bill was reduced from $20,000 to $5,000. It was much more than
either of us expected!
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| Contact
various associations and foundations to inquire about resources available.
By calling the American Cancer Society and Leukemia and Lymphoma society, I
learned a lot about resources available to patients including such things as
some reimbursement for gas mileage and pharmaceuticals.
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| Talk
to your friends. Many of them have been through similar circumstances and I
have found them to be a wealth of knowledge about local resources. In
addition, our friends had items to offer that were being unused. I had
bought a walker from a thrift store that wasn’t all that great, and our
neighbor had an excellent walker that she had used for her mother. It was
perfect for our needs. In addition, I had friends recommend local groups
that are available for help.
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| One
of the resources recommended was Catholic Charities. It is not a requirement
to be a member of the church to utilize their help. They have a stock room
of medical supplies available at no cost. I was able to get a really nice
shower bench and gave them the walker I purchased from the thrift shop. I
browsed to see other equipment available for the disabled if the need ever
arises. I can now recommend this resource to other friends.
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| Call
medical providers to compare rates for office visits and services. I
received referrals from friends for a dentist. I found two that came highly
recommended. After calling both dentists, there was a difference for a
porcelain crown of $400 between the two. I went with the one who charged
less, and have been extremely pleased with the work and services of this
dentist.
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| Often
doctors will discount bills by a certain percentage if you pay by cash vs.
credit card. Also, I’ve had doctors discount bills by 20% if I pay by cash
on the date of the doctor’s visit saving them the administrative costs of
having to mail a bill. Ask all medical providers if they have any form of
discount available that you might not otherwise be aware of and let them
know you are on a tight budget and looking for methods to save money.
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| Ask
the doctor to help you prioritize what medical matters should be dealt with,
comparing risk of waiting and ability to pay. I have done this on more than
one occasion and it has been extremely helpful in determining the best
schedule for my health care. I’ve also had the doctor compare my health
care needs with my husbands’ to help us prioritize services.
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| When
dealing with several doctor bills – split them into smaller amounts.
I’ve paid $25 a month and have never had a doctor complain and it hasn’t
affected our credit rating because the doctors know I’m paying my bill and
not skipping town. I often explain the situation of having several medical
bills and they have been very understanding.
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| In
addition to calling doctors, I have called hospitals to explain our
financial condition with multiple bills. I’ve discovered that in most
circumstances they are happy to set up a reasonable repayment plan. Often,
we discuss the situation and they will ask what will work for me. We have
been able to resolve both of our needs in a win/win manner. We end up with a
payment we can afford and they know they aren’t dealing with a deadbeat.
I’ve never had finance charges applied when I have done this.
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| Call
various pharmacists to get quotes on medications used frequently to
determine where you can get the best price. Go generic whenever that
alternative is offered and you will save a lot of money. If you have a
health insurance plan that offers medication by mail for prescriptions taken
on a regular basis, go this route because the amount of money you will save
is astronomical. Ask your doctor for samples when trying new medications,
rather than paying for the first month’s supply, as particular medications
may not work for you.
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| Save
money by purchasing necessary medications at higher doses and then splitting
the pills in half. If the medication is in capsule form, this won’t work
as the medication is usually time released and you won’t get the necessary
dosage by trying to split them. But tablets can be split in half and our
mail order pharmaceutical company charges the same flat fee amount for
varying dosages of a medication. Discuss with your doctor to ensure the
safety of the idea and to explain your reasoning about saving money on
medication. Since the doctor
won’t have to prescribe as often, you’ll save money by making your
medication last twice as long.
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| Keep
your medical records filed in an organized way so that you can check bills
easily. Providers do make billing mistakes, and if you aren’t
knowledgeable about your records, you could end up paying a bill you don’t
owe. This happened to me for a bill that was $600. It arrived approximately
two years after the date of service! I checked the files and paperwork for
that year, and discovered the mistake they had made. It took several phone
calls and a couple of letters to explain what had happened
It didn’t help that the person first helping me left the job before
my problem was totally resolved, and had not left careful notes in the file
to explain the discrepancy. I had to start from the beginning with another
representative. However, it was worth it in the long run because I could
have paid $600 that I didn’t owe.
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immaculate records and all receipts for tax purposes. Mileage, motel stays,
etc. If you are being treated out of town, discuss your circumstances with a
social coordinator at the medical facility. They can provide you with a list
of lodgings that are available at discounted medical rates, and provide
other possible resources that you might need in a town with which you are
unfamiliar.
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| If
you are staying out of town – bring your own food. Cook ahead and use an
ice chest to keep food cold. You can purchase collapsible coolers and fill
them when you arrive in town if you are flying to the facilities. As long as
there is a microwave available, you can purchase food from a local grocery
store once you have arrived. I’ve taken my crock pot to heat dinners when
we take our vehicle. You’ll save a fortune by planning your meals at home
and packing the food, as well as preparing meals ahead when possible. I’ve
made pasta salads, baked chicken with sauces, cooked rice and pasta,
spaghetti and meatballs. If the place you are staying has a refrigerator,
all the better – but you can keep adding fresh ice cubes to your ice chest
to keep the food cold and fresh. Believe me on this one—we have gone both
ways. When I go unprepared with our meals, the bills add up in a hurry.
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| Check
to determine if your company offers an HSA – Health Savings Account—as
part of their benefit plan. If you have a high-deductible health plan (at
least $1,050 for individuals; $2,100 for families), you are eligible to fund
an HSA, which you can tap to pay medical expenses. You'll save about $1,500
in taxes for every $5,000 you put into an HSA. Any funds you don't use will
grow tax-free and can be rolled over from year to year.
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| An
alternative that employers are required to offer is an FSA – Flexible
Spending Account. Add up your co-pays, deductibles and other out-of-pocket
medical expenses from last year to figure out how much to put into your FSA
(your benefits department can tell you what's eligible). For every $1,000
you put in, you'll slash about $300 in taxes. You'll forfeit any funds in
your FSA that you don't use by the end of the year or by March of the
following year (depending on your company). If you have extra money in the
account stock up on over-the-counter medical supplies like Band-Aids, cold
and flu tablets and aspirin; order a six-month supply of contact lenses and
solution; or schedule an extra session with your therapist or chiropractor,
f you've exceeded the number of visits covered by your health plan. |
One of the best ways to save on medical
costs is to take control of your health. Although we can’t always prevent
illnesses, there are many proactive steps that we can all take to help minimize
the likelihood of getting sick. Learn and apply effective stress coping
mechanisms, as stress is an underlying factor of many health related problems
including heart disease and cancer. Exercise regularly and eat nutritiously.
Maintain a healthy weight. Consider all of your current habits—are any of them
self-defeating in protecting good health? You’ll know if you have any habits
that could be eliminated which will save you money, while also benefiting your
future health. Here’s wishing all
of our readers good health while protecting your financial situation in the
future!
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Copyright
© 2008 by Karen Kuebler. All rights reserved. Want more
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