Hey all, I’m British so I don’t really know the ins and outs of the US healthcare system. Apologies for asking what is probably a rather simple question.
So like most of you, I see many posts and gofundmes about people having astronomically high medical bills. Most recently, someone having a $27k bill even after his death.
However, I have an American friend who is quick to point out that apparently nobody actually pays those bills. They’re just some elaborate dance between insurance companies and hospitals. If you don’t have insurance, the cost is lower or removed entirely. Supposedly.
So I’m just asking… How accurate is that? Consider someone without insurance, a minor physical ailment, a neurodivergent mind and no interest in fighting off harassing people for the rest of their life.
How much would such a person expect to pay, out of their own pocket, for things like check ups, x rays, meds, counselling and so on?
Fun fact: I recently learned life insurance can be used as a mechanism for really wealthy people to dodge taxes. Basically under the right circumstances you can pull money from life insurance policies with little to no penalty (and no, I’m not talking about when you die). High Deductible Health Plans and their corresponding Health Savings Accounts also work the same way, because they accumulate interest and have no tax penalty when used under the right circumstances.
See here: https://smartasset.com/insurance/how-to-use-life-insurance-to-build-wealth
In essence, insurance is a scam to rob those who don’t have much means, while simultaneously acting as a money laundering vehicle for those who do.
