Based on a sample of about 1,000 debtors, they concluded that more than 50 percent of these had filed for bankruptcy due to debt from medical problems. By limiting the sample to those who had already filed for bankruptcy, the study overstated the incidence of medical debt. The Warren sample also seems skewed towards debtors with high medical debt. The 2009 Warren study reports nearly 35 percent of filers with more than $5,000 in medical debt, and a much smaller fraction with no medical debt or other medical reason to file for bankruptcy. Definition of medical filersFinally, the 2005 study used an overly broad definition of “medical filers,” which included people with any sort of addiction or uncontrolled gambling problems.

Source: Forbes April 09, 2018 14:26 UTC