medical bankruptcy

Medical bankruptcy occurs when individuals or families are unable to pay their medical bills, often due to high healthcare costs, insurance limitations, or unexpected emergencies. These unpaid expenses can accumulate rapidly, overwhelming a person's finances. As a result, they may seek legal protection through bankruptcy, which can discharge medical debts and help them regain financial stability. While it’s not always the sole reason for bankruptcy, medical debt is a leading cause in many cases, highlighting how costly healthcare can impact personal financial health, especially when insurance coverage is insufficient or unavailable.