When healthcare feels like buying a new car every year
It is expensive to seek healthcare in America—so expensive that Drew Altman, CEO of the Kaiser Family Foundation, once compared the cost of family health coverage to “buying a stripped-down economy car, but buying it every year.” Think about it. Each and every year, families must pay bills as if they’re making a new car payment, but on something as essential as health insurance.
On top of everything, healthcare spending per capita in America is almost double that of other developed countries. Premiums, co-pays, and out-of-pocket payments continue to increase. The cost is staggering: medical debt sends over a half million families into bankruptcy each year. Even Nobel winners have sold medals to pay bills.
In a country where getting sick can bankrupt your bank account, some people have turned to a modern solution: crowdfunding. And GoFundMe became the dominant crowdfunding platform in that space.
GoFundMe launched in 2010 as a means of raising money for college or community projects. But today, its biggest category by far is health fundraising. Nearly 250,000 health campaigns are launched on the site every year.
The company itself admits that medicine swamps its site. CEO Rob Solomon told TIME that roughly one-third of all GoFundMe donations go toward medical bills. In total, the site has raised more than $650 million for medical bills.
It’s no surprise. With gaps in coverage, high deductibles, and procedures that aren’t reimbursed, patients and families are pinning their hopes on a respite. A good story on GoFundMe can sometimes make up the difference when insurance won’t.
The power—and limitations—of sharing your story
Crowdfunding is most effective when individuals are able to relate emotionally. Stories of courage, adversity, or injustice can motivate strangers nationwide to be generous. The most compelling campaigns tend to raise more than they initially set out to.
But the system has its downsides. Not everyone has a large social network or is able to sell their story well. Campaigns that don’t “go viral” can raise only a fraction of what is needed, with patients still trudging through bills. In some heartbreaking cases, families gather a few thousand dollars against hundreds of thousands in debt.
Worse yet, GoFundMe itself has also been misused. Scammers have fabricated illnesses or tragic stories to defraud donors. The case involving Mark D’Amico and Katelyn McClure, who fabricated a tale involving a homeless vet giving them gas money, brought in more than $400,000 before it was exposed as a hoax.
So, while GoFundMe can be a lifesaver, it’s not an automatic fix.
Beyond crowdfunding: medical funding options
If you or the person you love is facing exorbitant medical bills—especially in connection with a personal injury matter—there are other avenues than GoFundMe. Medical funding or non-recourse funding is one of them.
Here’s the way it works: a company approaches and pays your medical expenses upfront. You only repay the money if your case is won or settled. This takes the pressure off immediate cash for patients and prevents them from taking cases to settle quickly to have bills paid. Lawyers can, instead, focus on getting the best possible outcome for the case.
The procedure is surprisingly simple. Patients apply, the funding agency decides, and in many instances, they get approval on the same day. It’s designed to help people float when medical charges and living bills start piling up.
Is GoFundMe really possible?
The short answer: sometimes. GoFundMe has helped half a million Americans raise money for treatment, procedures, and living expenses. For some, it’s literally life or death. But for many more, it’s less of a cure-all and more of a Band-Aid.
Medical crowdfunding reveals how broken the health system is—when ordinary bills bully people into relying on charity from loved ones, friends, and strangers. GoFundMe can step in, but it’s not guaranteed or fair to rely on everyone’s network coming through.
Other choices, like medical funding, exist for this reason. They offer patients a structured, predictable way of paying for bills without being reliant on luck, social pressure, or storytelling ability.
In the end, no one intends to get sick or hurt. But knowing your options—crowdfunding or non-recourse medical funding—puts you in a more favorable position to address the cost aspect of healthcare, so you can focus on what matters: recovering.
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