How to Negotiate Medical Bills and Get Discounts

Hospital chargemaster rates are often 3-10x what insurance companies actually pay. Providers would rather receive partial payment than send bills to collections or write them off. Most are willing to negotiate, especially for uninsured or underinsured patients.

Before negotiating, research what Medicare pays for the same services (typically 50-80% less than list prices), what insurance companies pay (use fair health databases), and what other local providers charge. This gives you negotiating leverage.

Many providers offer 20-40% discounts for paying cash upfront or at time of service. Ask specifically: 'What is your self-pay or prompt-pay discount?' Even insured patients can sometimes get better rates paying cash for certain services.

Most providers offer interest-free payment plans. This buys time and makes bills manageable. Ask about plans before the bill goes to collections. Even small monthly payments demonstrate good faith and keep your account in good standing.

Start with: 'I received a bill for $X. I've researched fair prices and found Medicare pays $Y for this service. I'd like to discuss reducing my bill to something closer to that amount.' Be polite but firm. If they say no, ask to speak with a supervisor.

Before making any payment, get written confirmation of the agreed amount, that the remaining balance will be forgiven, and the payment schedule. Pay by check or card for documentation. Save all receipts and correspondence.