The Biden administration took new steps yesterday to reduce the burden of medical debt — but the moves don't address its underlying causes, and may have unintended consequences.The vast amount of medical debt in the U.S. is a direct reflection of the fact that many Americans can't afford deductibles and other out-of-pocket costs, but also can't forgo needed care.
The administration argues that medical debt is a bad predictor of whether someone will pay other bills, since health care often isn't a choice, unlike credit card debt or car loans. "Having medical debt because you were sick or injured should not lower your credit score and make it more difficult to secure the help you need to get out of debt," she added.by private credit reporting agencies that they will soon no longer include most medical debt on credit reports.Health insurance reduces the likelihood of someone receiving a bill they can't pay.
More than 40% of households don't have enough liquid assets to pay typical private plan cost-sharing, according toTaking some of the bite out of medical debt doesn't prevent it from accruing in the first place, and it could have unintended consequences.
This administration only concerns itself with immediate concerns. The consequences mean little to them.
After reading the last few pieces written by Caitlin Owens, it is apparent that she is biased and I will no longer read her 'opinions'.