Earlier quoted context omitted.
Doubtful. Do people go bankrupt by medical debt in other countries? Seems unlikely to get judgment and collect.
I think it’s simply unlikely because debt is always preferable to a life threatening emergency. That being said, from a global perspective, “bankruptcy” is not a good measure of economic burden. There are worse debt outcomes than bankruptcy.
Bankruptcy is not some sort of a financial death sentence. In fact you’ll even be able to get access to credit almost immediately, because the default risk just after bankruptcy is extremely low due to the fact that you can’t declare bankruptcy for another 2-3 years.
Yes, your credit score is trashed for the next 6-7 years, but it’s also trashed with an insufferable amount of medical debt.
I would be much more upset about a 6 figure medical bill if I had 6 figures in liquid assets than I would be if I owned nothing besides some home equity.
If I have 6 figures of liquid assets, I’m wiped out, but if I own nothing, I declare bankruptcy and have a clean slate.