Indiana ranks in top 10 states for medical debt

INDIANAPOLIS — According to the Kaiser Family Foundation, roughly 12% of Hoosiers have some form of medical debt, making Indiana a top 10 state with the most medical debt outranking Ohio, Michigan, and Illinois.

”They’re more likely to live in rural areas, they’re more likely to have slightly lower incomes, they’re more likely to be in poorer health, and/or live with a disability,” Emma Wager, a senior policy analyst with the KFF, said.

According to Gloria Sachdev, the president of the Employers’ Forum of Indiana, hospital prices make up the biggest portion of medical debt Hoosier face, and a lack of competition is contributing to the problem.

”Indiana’s hospital prices are eighth highest in the country,” Sachdev said. ”We all need to have price transparency, quality transparency, and ownership transparency.”

But the Indiana Hospital Association said it’s only getting harder for hospitals to keep the doors open. According to the IHA, operating costs rose by 5% last year — higher than the national average. The Association also said Indiana hospitals offer crucial financial assistance, with a statement reading in part:

“ Indiana hospitals…provided $700 million in free care across the state last year – a 22% increase over the year before. This far outpaces national growth in charity care, which increased 8% during this time period .”

Still, lawmakers like State Rep. Victoria Garcia Wilburn (D-Fishers), a member of the Medicaid Advisory Committee, said more transparency is needed to address a lack of competition, a lack of healthcare workers and a lack of access for many Hoosiers.

”We have a problem as far as competition of cost, we have a problem as far as healthcare workforce,” Rep. Garcia Wilburn said. “We have an access problem, so all the things that I mentioned, so it’s going to take a good bipartisan approach to solving this very complex issue.”

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