medical bills healthcare costs female worker with laptop tablet and clipboard

Six Ways to Cut Health Care Costs

/4 Comments/in , , /by Mary Hunt

Health insurance isn’t exactly dinner party conversation—but if you’ve opened a bill lately, you know it should be. Between rising premiums, confusing networks, and those maddeningly cryptic EOBs, managing health care costs can feel like a full-time job. The good news? You don’t need a degree in insurance to start saving money. I’ve rounded up six practical ways to cut costs—without sacrificing care or peace of mind.

medical bills healthcare costs female worker with laptop tablet and clipboard

I’ll be honest—I’m just as surprised as you are to be wading into the murky waters of U.S. health care. Specifically? Health insurance. It’s a tangled mess. Even if your coverage comes neatly wrapped in your job’s benefits package, it’s still messy. Premiums keep climbing, deductibles are sky-high, and somehow we’re paying more for less.

How much more? In 2023 alone, U.S. health care spending ballooned to a staggering $4.9 trillion, or about $14,570 per person. That’s 17.6% of our entire economy—nearly one out of every six dollars. And just when you think it can’t get more absurd, spending on hospital care alone jumped 10.4%, hitting $1.5 trillion, its fastest climb since 1990. Prescription drugs? Up 11.4%, fueled by skyrocketing costs for diabetes and obesity medications. Even dental care bounced back with a 6.2% increase after a brief dip the year before.

And let’s not even start on wait times for specialists, tests, or surgery. They’re stretching longer than a DMV line on a Monday morning. Meanwhile, we’re watching out-of-pocket costs sneak up—7% higher in 2023 for physician services alone.

Now, I’m no insurance expert. But here’s what I know: whether we like it or not, we have to become our own health care advocates. That means paying attention, asking questions, and managing things we once trusted our doctors and their office staff to handle.

Not good with numbers? Doesn’t matter. These days, we all need to be part-time medical bill auditors. That means understanding those EOBs (Explanation of Benefits), poring over bills, and double-checking the fine print. Long gone are the days when insurance paid for everything and employers picked up the tab.

The good news? There are ways to cut costs—without compromising care. Here are six simple steps you can take:

1. Stay In-Network or Prepare for Sticker Shock

When Brian and Cindy’s newborn needed urgent blood work, the lab in their network couldn’t manage a successful draw. Their pediatrician sent them straight to the nearest Children’s Hospital. Problem solved… until a $2,000 bill arrived. Turns out that hospital—and its lab—was out-of-network. Insurance wouldn’t touch it.

Networks are shrinking, and some plans cover almost nothing out-of-network unless it’s a true emergency. So, before you agree to anything—even in the hospital—ask every single person who walks through your door: “Are you in my network?” Yes, even the guy delivering your lunch tray. You never know.

2. Avoid the ER (Unless You Absolutely Must Go)

Emergency rooms are where medical needs meet financial heart attacks. The average ER visit costs $1,553. Urgent care? Around $135. Telehealth? Closer to $40–$50.

If you’re dealing with something non-life-threatening—like a sore throat, earache, sinus trouble, or stomach bug—consider your options. Urgent care clinics, convenience care centers (like those in big drugstore chains), and telehealth services are often faster, cheaper, and more convenient.

Look up your local options now—before you’re sick. Keep phone numbers handy. Know how to access virtual visits. That way you’re not googling “urgent care near me” in the middle of a child’s fever spike.

3. Choose Generic Meds Whenever Possible

Generic drugs can be up to 80% cheaper than their brand-name twins. They’re made with the same active ingredients (cue the emails from folks who’ll say otherwise—but yes, by law they must be).

If you’re paying out-of-pocket during your deductible period, generics can mean big savings. Many insurance plans have lower co-pays for generics, too. Some big-box stores (Walmart, Target) even offer a 30-day supply for just $4 or a 90-day supply for $10. That’s cheaper than lunch.

Hospital Price Transparency Can Help You Save

Most people are surprised to learn that hospitals are now required to make their prices public *before* you get care. As of January 1, 2021, every U.S. hospital must list:

  1. A full, downloadable file of all their items and services.
  2. A separate list of at least 300 “shoppable” services—things like x-rays, outpatient visits, lab work, or procedures that can be scheduled ahead of time—shown in a clear, easy-to-read format.

What does this mean for you? You can check the prices, compare costs between hospitals, and get a rough idea of what your bill might be—whether you’re paying through insurance or out-of-pocket.

Start by visiting your hospital’s website and searching for “price transparency.” If that doesn’t work, give them a call. Tools like Medicare’s Care Compare site can also help you weigh your options based on both cost and quality.

This simple step could save you a lot—especially if you’re using an HSA or paying cash.

4. Use Your Free Preventive Care

Thanks to the Affordable Care Act, most insurance plans must cover certain preventive services at no cost to you—no copay, no deductible—as long as you use an in-network provider. These services include:

  • Mammograms
  • Colonoscopies
  • Blood pressure and cholesterol screenings
  • Diabetes checks
  • Flu shots and routine vaccinations
  • Well-baby and well-child visits

For a comprehensive list tailored to your age and gender, visit HealthCare.gov. Take advantage of these benefits and schedule your check-up—you’ve earned it

5. Say Yes to Wellness Incentives

If your employer offers rewards for participating in wellness programs—take them up on it! About a quarter of large companies hand out gift cards, cash, merchandise, or even travel perks just for participating.

We’re talking simple stuff here: health screenings, online courses, or a step-tracking challenge. You don’t need to become a triathlete—just show up and collect your reward.

6. Get Credit Toward Your Deductible

If you’ve got a high-deductible plan and you’re paying out-of-pocket, make sure those payments are being counted toward your deductible. File every claim—even if you paid in cash—so you get credit and your insurer’s negotiated rate.

And here’s a tip: try to schedule big procedures at the end of the year if you’ve already met your deductible. That way, you won’t be hit with another round of full-price bills in January.

There you go—six ways to hold the line on health care spending. There are more, of course, and I’d love to hear yours.

 

Question: What are you doing to keep your costs in check—and how are you staying healthy? Let’s swap notes. Misery may love company, but I think frugality prefers community.

Print Friendly, PDF & Email

More from Everyday Cheapskate

diy teeth whitening woman

DIY Teeth Whitening at Home Using Everyday Items

toilet with roses coming out diy poo pourri spray

DIY Poo-Pourri Spray That Works (For Pennies, Not Dollars)

uses for used coffee grounds in the kitchen garden

16 Used Coffee Grounds Uses You’ll Wish You Knew Sooner

generic vs name brand woman choosing between two cereals in grocery store aisle

6 Winners in the Generic vs. Name-Brand Showdown

fruit flies on an orange

Get Rid of Fruit Flies in Your Kitchen for Good

diy laundry helpers dryer door open with blue towels

DIY Laundry Helpers That Beat Store-Bought Add-Ins

woman holding grocery shopping list on phone how to save money on groceries

18 Easy Ways to Save Money on Groceries in 2026

uses for salt shaker with pile of table salt iodized

17 Simple Uses for Salt You’ll Wish You Knew Sooner

keep your home cool on a budget sun peeking behind tree

Keep Your Home Cool on a Budget This Summer



Please keep your comments positive, encouraging, helpful, brief,
and on-topic in keeping with EC Commenting Guidelines



Caught yourself reading all the way 'til the end? Why not share with a friend.

4 replies
  1. Suzanne says:

    One thing I’d like to add is to examine all Explanation of Benefits (EOBs) carefully. Question all denials or underpayments until you’re satisfied that your claim has been processed accurately (if you’re not sure about any aspect of your coverage call your insurer and ask about your policy benefits). I’ve done this over the years and had my claims reprocessed correctly. I’m about to do that now with a claim that was denied without cause. Be persistent. You may not succeed with your first try, but if you’re correct about how your coverage was applied your request for reconsideration will be successful. It costs nothing to try, and it could pay off in lower medical bills.

    Reply
  2. Jeanne says:

    Food for thought: While I agree that it’s a good idea to schedule procedures before the year ends, it’s NOT a good idea to do it too close the year’s end. Try to schedule routine visits and procedures earlier in the fall, before doctors’ offices & surgery centers become swamped in November & December with everyone else trying to use up their Medical benefit. I had a routine colonoscopy two years back in November, and there was something seen that called for a repeat colonoscopy . At that point, the earliest the repeat procedure could be scheduled was January, when I had to pay my deductible for the new year. Doctor’s offices become terribly busy in Nov. & Dec., dealing with people who have need for urgent appointments. And, of course, when medical folk start dealing with large upticks in flu, Covid, pneumonia, etc. Get your routine visits taken care of before winter begins.

    Reply
  3. Robbye Meaders says:

    Good advice all. Two things I would add. My credentials: I have been a licensed insurance agent for 30+ years. I work in the billing department of a small rural hospital and deal with insurance claims daily. When you sign up for a health insurance plan, be CERTAIN you understand the rules of the plan. Take time to do the research. That’s where the financial sticking points should be outlined. Hospitals go way beyond the extra mile in certifying eligibility and coverage, but mistakes can still happen. We are human and our business is saving lives.
    Be sure you understand the Copays, your assigned PCP, your out of pocket requirements, deductibles, penalties for out of network services, etc. Even if you have a company group plan, do the same: know your network: be certain you know who your assigned PCP is. Hospitals and clinics lose money daily because a patient comes to an out of network provider and the staff doesn’t catch it because the provider may not be contracted with ALL of the plans from that carrier. Insurance companies deny claims for out of network services other than true emergencies. Get to know whether to go to Urgent care or the ER. Know what your responsibilities are if you go out of network. You may be charged more, you may pay the whole bill. Your insurance plan should have guidelines published regarding these critical factors.

    Reply
  4. Winifred Kay Jones says:

    Read the fine print in everything. If there’s not the ability to deliver the care and you’re referred out of network my policy states I need to pay only what I would pay in network
    Everything has a code to aid in billing. It’s complicated and one error in entering it will result in an incorrect amount and procedure.
    Remember not to shoot the messenger. The first person you contact is rarely anyone with a medical background. They have a list of things covered and refer to that. If you’re dissatisfied go on line and find the company. Some have a form for questions. Keep on top of things
    I’ve seen it from both sides as I’ve both given care and received it.

    Reply

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *