From unexpected illnesses and injuries to regular trips to the doctor, medical bills and copays are a part of life. Depending on the care you require or the type of insurance you have, they can add up and drain your budget.
Here are some ways to take the edge off of paying medical bills:
Carefully review your bills
Be sure to verify the dates of service and the care provided. Billing mistakes can happen. Contact the medical provider immediately if you don't recognize or are unsure of a charge.
Set bill pay reminders
When you receive a bill, set a reminder to ensure you pay it on time. Schedule the bill payment in advance using online or mobile banking to make it even easier.
Set up a payment plan
Emergencies can lead to higher bills, and if you can't afford the total amount due, be proactive and ask the provider if they can put you on a payment plan. Many providers will work with you. Also, if you miss a payment, contact the provider immediately.
Never ignore your bills
It may haunt you later, especially when it impacts your credit rating and ability to borrow in the future.
Enroll in a Health Savings Account (HSA)
Many companies offer HSAs to help employees manage the cost of medical care. An HSA is a tax-advantaged account where you can have a portion of your pay set aside each pay period to pay for qualifying medical expenses. It’s important to note that HSAs are only available to individuals with high-deductible health plans.
Talk to your tax advisor
You may be able to claim medical expenses on your tax return if you itemize your deductions instead of taking the standard deduction. Talk to your tax advisor about your unique situation.
Stay in the network
One way to lower your bills even before receiving them is to use providers in your health insurance network. In-network providers negotiate rates with the health insurance plan, with the result being lower copays, deductibles, and coinsurance compared to out-of-network providers.
Taking care of your medical bills is a great way to maintain strong credit and promote good financial health.
Have questions or need assistance?
If you have questions about this topic or need assistance with your banking needs, please speak to one of our bankers at your local Bar Harbor Bank & Trust branch. We're here to help you build a solid financial future.
