Health care costs causing majority of bankruptcies

Health care costs and your finances

(WWBT/WXIX) - New data from the American Journal of Public Health shows that about two out of three bankruptcies in the U.S. is related to medical issues.

The journal dug into the documents tied to about 1,000 bankruptcy cases between 2013 and 2016, and found that blamed medical bills or income loss due to illness caused major financial issues for people.

According to that report, it’s mostly middle class people with health insurance that have the most problems with their bills.

The report says that 44 percent of American families faced an unexpected medical expense last year and that 40 percent of those surveyed don’t have the money on hand to manage a $400 emergency.

Experts suggest that you should save enough money to cover your out of pocket maximum.

They also suggest talking to a financial planner if you’re closer to retirement as you consider long-term care.

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