The American Hospital Association points to two health insurance trends as drivers of increased medical debt.
Those drivers are inadequate healthcare coverage and high-deductible health plans that "intentionally push more costs onto patients," according to a June 12 news release.
"While every hospital has a financial assistance policy to help those most in need, they can only help so much and so many," the AHA said in the release. "No matter how generous, hospital financial assistance will never be a substitute for a health insurance plan that covers preventive and necessary care at an affordable price on the front and back end of coverage."
The AHA proposed five solutions it said will tackle the root problems of medical debt by ensuring all individuals are enrolled in comprehensive coverage with affordable cost-sharing:
1. Restrict the sale of high-deductible health plans to only those with the demonstrated means to afford the associated cost-sharing.
2. Prohibit the sale of health sharing ministry products and short-term limited duration plans that go longer than 90 days.
3. Lower the maximum out-of-pocket cost-sharing limits.
4. Eliminate the use of deductibles and coinsurance and rely solely on flat co-payments.
5. Remove providers from the collection of cost-sharing altogether by requiring health plans to collect the cost-sharing payments they impose directly from their enrollees.
Read the full release here.