You don't need to get an alarming bill from a hospital or doctor to know that the cost of medical care is rising rapidly. The American Medical Association reported in July 2026 that health care spending in the United States rose by 7.2% in 2024, an almost identical increase to the 7.4% jump the previous year.
But if you're wondering how to pay health care bills, understand that there are some ways to negotiate that amount or find help in covering the expense.
The first thing you need to do after opening that bill is take a breath. Don't feel you need to settle up right away, says Erin Bradshaw, executive vice president for development and strategy with the Patient Advocate Foundation. "We always say 'delay before you pay' and here's why: About half of your medical bills have mistakes in them, and you should never pay anything until you receive your explanation of benefits," she says.
Study Your Bill
Billing errors can happen for a variety of reasons, which is why it's so important to carefully review each charge and compare it to the explanation of benefits (EOB). For example, if a code for a test, medication, or procedure was documented in your file incorrectly, you may be charged for something that was more expensive than what you actually received. It's also possible that a test or procedure that was never performed shows up on your bill.
Likewise, a charge itself may have been entered improperly. A misplaced "0" or decimal point could make a sizable difference in the figures that show up on your bill.
And you should always make sure you're not being billed twice for the same test or procedure. It's one more reason to keep careful records of your medical bills and when they were paid.
One other common source of billing mistakes is incorrect patient and insurance information. "When you get a bill, look it over to make sure it has all your information and your insurance provider's information correct," Bradshaw says. "Most of the mistakes we see are simple human error and should be able to be resolved with a phone call rather than going through the full appeals process."
She adds that you should never pay anything until you're sure the bill matches the EOB and that all the information and charges are correct — as far as you can tell. "If there's a discrepancy, make sure you resolve it," Bradshaw advises. "We tell people to wait for the explanation of benefits because it ensures that the provider has submitted the bill to insurance and the insurer has received it. It almost functions like a receipt, but in this instance, you shouldn't pay until you get that 'receipt!'"
Know Your Insurance Plan
You don't need to understand every detail of your health insurance plan, but it's important to know things like your deductible and out-of-pocket maximum, as well as what percentage of various health care needs are covered by your plan and whether a particular test or procedure requires a preauthorization (getting their OK ahead of time).
If you're unsure about coverage details or any aspect of your health insurance, call your insurance provider. It can be a time-consuming and sometimes frustrating process to get answers, but making the effort might save you money and headaches down the road.
A call to your insurer is also critical if you get a notice that a claim has been denied. Bradshaw suggests you first confirm whether the notice is a formal denial or a mistake. Coding errors, for example, or not enough information from your doctor or hospital can be grounds for a denial. Your health care provider may need to provide additional information to the insurer or otherwise advocate for you, so don't hesitate to ask for your doctor's help.
"The first step is always to call your insurer and ask what happened," Bradshaw says. "Ask every question you have, take notes and ask for clarity whenever you don't understand. If you're receiving a formal denial, you should get a letter stating so along with an explanation for how to appeal the decision. As difficult as it may be, don't treat it as an emotional appeal, but rather a contract dispute that requires documentation and hopefully support from your provider's office."
Ask for Financial Assistance
If all the billing and insurance issues have been resolved and you're still looking at a bill that presents you with a sizable financial burden, don't give up. There may be ways to knock some of those charges down. Paying less for medical bills is something most people can identify with, including the people you speak with at your hospital, doctor's office, or other facility.
Bradshaw recommends making that first call one to the hospital's or provider's billing office to explore your options. "Make sure they have your correct insurance details," she says. "Learn your options, inquire about financial assistance programs or payment plans, and request a hold on the account if an insurance negotiation is happening."
You'll probably have to ask if you qualify for financial aid. "Don't assume that they'll offer it up front, or that you won't qualify," Bradshaw says. "As an example, I know hospital systems where people making well into six figures will qualify for financial assistance. Your household size does matter. Always ask."
Many states have rules that hospitals must follow when it comes to eligibility for financial assistance. In states that don't, hospitals have their own policies.
Even if you don't qualify for financial assistance, you may still be able to negotiate a payment plan. You may be able to spread the charges out over several installments. "Always get an idea of what you can pay up front and what you can afford to pay on a monthly basis," Bradshaw says. "You don't want to set up a payment plan that you ultimately can't afford."
But beware of medical credit cards, which a hospital or practice may offer, Bradshaw warns. "These cards may end up carrying large interest rates, and if defaulted will end up on your credit report and negatively affect your ability to apply for financial aid or payment plans without interest," she adds.
Bradshaw also suggests asking providers about a cash discount, since they may be willing to take a little less money in one lump sum, rather than take the full amount spread over a longer period of time.
Discounts are also sometimes available to students, teachers, veterans, active-duty military, and seniors. If you have Medicare, check out the Medicare Savings Programs and Extra Help program that can help bring down your out-of-pocket health care costs. Veterans and active-duty military can often get a break on their care and prescriptions at a nearby Veterans Affairs (VA) hospital.
The Patient Advocate Foundation also offers financial help and advice at patientadvocate.org and TotalAssist.org. The Foundation maintains a national resource directory of financial aid programs, too.
Remain Calm
Unexpected financial burdens can hit hard, but Bradshaw says it's important not to make things worse by rushing to pay things off without exhausting all avenues of financial assistance. Don't worry that a little delay in paying your bill is going to get a collections agency automatically involved and ruin your credit score. "There's nothing that prevents any office from sending a bill to collections at any time," Bradshaw says. "We've had patients who found out about a bill because they were called by a collection agency. But it can't appear on your credit report for a year, generally, and will never appear there if the amount is less than $500. Once you pay it, too, it should disappear from your credit report."
But she adds that there is no federal legislation enforcing those credit score policies. Rather, the "big three" reporting agencies — Experian, TransUnion, and Equifax — have agreed to follow those rules, Bradshaw explains.
Compare Prices
In some situations, you may be able to save money by comparing the prices of services offered by competing medical facilities. In health care, fair market price (also known as fair market value) is the open-market value or cost for medical imaging and screenings, lab work, surgeries and procedures, prescriptions, and other products and services.
But Bradshaw says the idea of shopping around for the best deal seems like an unfair burden to put on patients. It can be tricky to get real apples-to-apples costs, even knowing a hospital's chargemaster rates, which are undiscounted prices for services and procedures.
"It can be incredibly difficult to find prices, and even if you have the baseline chargemaster price, it may be irrelevant compared to your insurance plan," Bradshaw says, noting that an individual's actual costs can vary greatly based on their specific insurance coverage. "Your insurance plan will determine your copay, coinsurance, or other out-of-pocket cost based on your deductible."
She adds that if you're looking for a fair market price to help as you try to negotiate a bill down after you've received services, you may be able to find useful comparisons in healthcarebluebook.com or through Medicare. Bradshaw also explains that while many hospitals and medical facilities publish their prices, not all do. But as with any aspect of health care expenses, it never hurts to call around for more information.
Takeaways
Navigating the health care system and managing its rising costs are challenges for most people. So remember that you're not the first person to appeal to a hospital or health care provider for assistance. "There are entire billing offices in hospitals and provider's offices who are set up to do exactly this job," Bradshaw says. "You should take advantage of it."
Show Sources
Photo Credit: E+/Getty Images
SOURCES:
American Medical Association: "Trends in healthcare spending."
Arthritis Foundation: "Common Medical Billing Errors."
Consumer Financial Protection Bureau: "Understanding Required Financial Assistance in Medical Care."
