Bankruptcy Affects Doctors and Other Professionals
According to CNNMoney.com, a disturbing trend over the last few years has been the increasing number of physicians and medical professionals filing for bankruptcy protection. Though many of these bankruptcies are simply Chapter 11 reorganizations, for some bankruptcy sounds the death knell of their practices and careers.
The Causes of Bankruptcy among Doctors
Studies show that the recession, which has been deeper and longer than expected, has taken its toll on medical practitioners, particularly those who specialize in nonessential procedures. With fewer dollars to spend, many consumers are unwilling to part with even the low cost of a copay for an office visit. In addition, the proliferation of urgent care facilities has resulted in “bargain shopping” by people seeking medical treatment. Furthermore, as more and more companies cut back on the health insurance benefits they provide their employees, more employees are reluctant to spend their own dollars on medical care, and either don’t seek care or go to an emergency room at a hospital, where they may be treated without providing insurance coverage or payment.
Doctors also blame shrinking insurance reimbursements, changing regulations, increases in the cost of malpractice insurance and other business necessities. Especially hard hit have been chemotherapy providers, who have experienced dramatic declines in drug and medical supply reimbursements from patients’ insurance carriers. Also heavily impacted are doctors or medical professionals who work in areas where Medicare is prevalent or where many patients either have little or no insurance. In these areas, patients are unable to afford payments that insurance companies no longer make.
Doctors often have large amounts of debt to match their income. In our experience, doctors as a group present more complications than the typical debtor. Careful planning, having the advice and experience of the right attorney is essential to success. But as with so much else, with the right approach and attention to detail, the patient’s prognosis can be excellent!
Contact Neuner & Ventura, LLP
Let us help you take back control of your life! We understand the stress, anxiety and confusion that can be associated with a potential bankruptcy filing. We offer a free initial consultation to every new potential bankruptcy client. (We do, however, reserve the right to charge a fee to review any work done by another attorney). For an appointment, call Neuner & Ventura at (856) 596-2828 or send us an e-mail. Evening and weekend appointments are available upon request
Representing Clients across South Jersey