Illness and Injury as Contributors to Bankruptcy
33 Pages Posted: 9 Feb 2005
Date Written: February 8, 2005
Abstract
In 2001, 1.458 million American families filed for bankruptcy. To investigate medical contributors to bankruptcy we surveyed 1771 personal bankruptcy filers in five Federal courts, and subsequently completed in-depth interviews with 931 of them. About half of debtors cited medical causes, indicating that between 1.850 and 2.227 million Americans (filers plus dependents) experienced medical bankruptcy. Among individuals whose illness led to bankruptcy, out-of-pocket costs averaged $11,854 since the start of illness; 75.7% had insurance at the onset of illness. Medical debtors were 42% more likely than other debtors to experience lapses in coverage. Even middle class, insured families often fall prey to financial catastrophe when sick.
Keywords: medical, bankruptcy, debt, illness
Suggested Citation: Suggested Citation
Do you have negative results from your research you’d like to share?
Recommended Papers
-
Personal Bankruptcy and the Level of Entrepreneurial Activity
By Wei Fan and Michelle J. White
-
Personal Bankruptcy and the Level of Entrepreneurial Activity
By Wei Fan and Michelle J. White
-
Determinants of the Consumer Bankruptcy Decision
By Ian Domowitz and Robert Sartain
-
Bankruptcy Exemptions and the Market for Mortgage Loans
By Richard M. Hynes and Jeremy Berkowitz
-
Bankruptcy and the Market for Mortgage and Home Improvement Loans
By Emily Y. Lin and Michelle J. White
-
An Optimal Personal Bankruptcy Procedure and Proposed Reforms
By Hung-jen Wang and Michelle J. White
-
Bankruptcy Law and Entrepreneurship
By John Armour and Douglas J. Cumming