No One Should Have to Choose Between Groceries and a Hospital Bill

Hospitals are a leading driver of medical debt in America. A new Commonwealth Fund survey finds that nearly one in three working-age adults with private insurance are paying off medical bills over time and hospital care is the most cited source of that debt.

Hospital care is the primary culprit:

• Nearly two-thirds of people paying off medical bills owed money for a hospital stay, outpatient visit, or emergency care

• Doctor's office visits and lab tests also left many patients with balances they couldn't pay right away

Who carries the burden:

• About 1 in 3 working-age adults with private insurance are paying off medical debt – with rates highest among people with low or moderate incomes, women, Black adults, Hispanic adults, and people in the South

• 46% of those carrying medical debt owe $2,000 or more

• Black adults are nearly twice as likely to carry hospital-related medical debt, compounding existing racial health and wealth gaps

Among those carrying medical debt:

• 37% used all or some of their savings to pay it down

• 30% delayed or avoided needed care

• 30% cut back on necessities such as food, heat, or rent

• About 1 in 4 had their debt reported to a credit agency – closing doors to homeownership long after the hospital visit itself

But the data points back to hospitals. 2 out of 3 people traced their debt directly to hospital care, reflecting a broken 340B program. Patients who should be seeing the benefits of 340B discounts – which generate nearly $80 billion in revenue for hospitals – are too often finding themselves in medical debt instead.

These findings reinforce the need for increased transparency. A health care system that sends patients home with unmanageable bills requires reforms that make hospital care more affordable and hold institutions accountable to the communities they serve.