Work down this list in order, because the cheapest money is almost always the money you have not asked for yet: hospital financial assistance, copay foundations and Medicare’s Extra Help program cost nothing to apply for and are the three most underused sources in the country. The expensive options at the bottom of this page should be reached only after the top has been exhausted.
The costs that break households during treatment are usually not the ones people expect. The infusion is billed to insurance. What lands on the kitchen table is the parking, the 90-mile round trip three times a week, the specialty pharmacy copay, the dental work needed before radiation, the missed shifts, and the deductible that resets on January 1 in the middle of a course of treatment.
What follows is ranked from best to worst for a typical household, with who each option suits. Confirm every dollar figure with the program named, because these change annually and a stale number is worse than none.
In This Article
- 1. Hospital Financial Assistance and the Nonprofit Charity Care Rules
- 2. Copay Assistance Foundations and Disease-Specific Charities
- 3. Medicare Programs Most Patients Are Never Told About
- 4. Riders and Values Already Inside Policies You Own
- 5. Payment Plans, Then Restructuring the Coverage Itself
- 6. Viatical or Life Settlement, With the Timeline Stated Honestly
- 7. Last: Retirement Withdrawals, Credit Cards and Home Equity
- Frequently Asked Questions
1. Hospital Financial Assistance and the Nonprofit Charity Care Rules
First because it is the largest single source of relief and the least requested.
Nonprofit hospitals must maintain a written financial assistance policy under the IRS requirements for charitable hospitals, must publicize it, and must limit amounts charged to patients eligible under it. Many hospitals will reduce or forgive balances for households well above the federal poverty level, and many will apply the policy retroactively to bills already in collections.
What to do tomorrow: call the hospital’s financial counseling or patient financial services department and ask for the financial assistance application and the eligibility thresholds. Ask specifically whether the policy applies retroactively and how far back. Ask for an itemized bill at the same time, since errors are common and a corrected bill is free money.
Who it suits: everyone treated at a nonprofit hospital, at any income level, because thresholds are higher than people assume. Apply even if you think you earn too much.
2. Copay Assistance Foundations and Disease-Specific Charities
Independent charitable foundations provide grants that pay insurance copays, coinsurance and sometimes travel for people with specific diagnoses. The well-established names include the Patient Advocate Foundation, the HealthWell Foundation, the Patient Access Network Foundation, CancerCare, the Leukemia and Lymphoma Society and the American Cancer Society.
Two operating facts that determine whether you get funded. Funds open and close by disease category as money is raised and exhausted, so a closed fund in March may open in June. And applications are usually decided in days rather than months, which makes this the fastest meaningful money on the list.
What to do tomorrow: ask the cancer center’s oncology social worker or financial navigator which funds are currently open for your diagnosis. That person exists at nearly every treating center, the service is free, and they track fund openings professionally. Ask also about transportation and lodging programs, which are separate from copay grants; the American Cancer Society’s lodging program and volunteer driver programs are the most widely available.
Who it suits: insured patients with high copays and coinsurance. Most funds require insurance coverage rather than serving the uninsured.
Related: what medical transportation actually costs when treatment is several times a week.
3. Medicare Programs Most Patients Are Never Told About
Three of these, each with a real dollar effect, and all free to apply for.
Extra Help, formally the Part D Low-Income Subsidy, reduces or eliminates Part D premiums, deductibles and drug copays for those who qualify on income and resources. Apply through the Social Security Administration.
Medicare Savings Programs, administered by the state Medicaid agency, pay Part B premiums for qualifying beneficiaries and in some categories cost-sharing as well. Paying the Part B premium alone returns real monthly cash to a household.
The Part D out-of-pocket cap. The Inflation Reduction Act created an annual cap on Part D out-of-pocket drug spending, set at $2,000 for 2025 and indexed annually thereafter; confirm the current year’s figure with Medicare. The same law created a Medicare Prescription Payment Plan that lets beneficiaries spread out-of-pocket drug costs across the calendar year in monthly payments rather than paying a large amount in January. Ask your Part D plan how to opt in.
Who to call: the State Health Insurance Assistance Program, which provides free one-on-one Medicare counseling in every state and can screen for all three at once.
| Rank | Option | Speed | Who it suits |
|---|---|---|---|
| 1 | Hospital financial assistance | 2 to 6 weeks | Anyone treated at a nonprofit hospital |
| 2 | Copay foundations and disease charities | Days | Insured patients with high cost-sharing |
| 3 | Extra Help, Medicare Savings Programs, Part D cap | Weeks | Medicare beneficiaries on limited income |
| 4 | Riders and cash value already owned | 2 to 8 weeks | Owners of permanent or riders-equipped policies |
| 5 | Payment plans and coverage restructuring | Immediate | Households with manageable balances |
| 6 | Viatical or life settlement | 60 to 120 days | Large policy, unaffordable premium, no dependent |
| 7 | Retirement withdrawals, cards, home equity | Immediate | Almost nobody; last resort |
4. Riders and Values Already Inside Policies You Own
Fourth because it costs nothing to check and frequently produces money in weeks.
An accelerated death benefit or terminal illness rider pays a portion of a life insurance policy’s face amount early on a qualifying physician certification. Many policies include one at no additional premium, and owners routinely do not know it is there. Ask the carrier for the rider list and the exact terms, including how much can be advanced and how the remaining death benefit is reduced.
A chronic illness rider pays on documented inability to perform activities of daily living, which is a different trigger and sometimes easier to meet.
Cash value and policy loans. A loan against a permanent policy’s cash value is generally not a taxable event while the policy stays in force, but unpaid loan interest compounds and can eventually lapse the contract, which creates a tax bill at the worst possible time. Ask the carrier for the current loan rate and for an illustration showing the policy carried with the loan outstanding.
Paid-up additions, if a whole life policy has them, can sometimes be surrendered for cash while keeping the base policy in force. See cashing out paid-up additions.
5. Payment Plans, Then Restructuring the Coverage Itself
Hospitals and treating practices will nearly always accept an interest-free payment plan if asked before the account goes to collections, and the monthly amount is often negotiable to a figure the household names. Ask in writing, get the terms in writing, and never put a medical balance on a credit card to make it go away, because doing so converts a low-pressure debt into a high-interest one with none of the consumer protections that apply to medical debt.
Restructuring insurance you already pay for is next. Ask the carrier what the minimum premium is to keep a life policy in force for twelve months, what reduced paid-up coverage is available with no further premiums, and what a face amount reduction would do to the premium. For a household in treatment, converting a $9,000 annual premium into a smaller paid-up policy can free real cash without giving up all coverage.
If a policy has already lapsed during treatment, ask about reinstatement terms quickly, because most contracts allow it only within a stated period and require evidence of insurability plus back premiums with interest. See how reinstatement works, and how to find out whether an old policy still exists if the paperwork cannot be located.
6. Viatical or Life Settlement, With the Timeline Stated Honestly
Sixth, not first, and only for a specific profile.
The timing is the main limitation: 60 to 120 days from application to funding, with most of the delay in records retrieval and life expectancy underwriting. That does not answer a bill due in three weeks, which is why the five options above come first.
Where it genuinely fits: a substantial permanent policy, typically $100,000 of face or more, with an unaffordable premium, an insured with a documented serious impairment, and nobody who depends on the death benefit. Where the insured is terminally or chronically ill within the meaning of Internal Revenue Code Section 101(g) and the certification requirements are met, a viatical settlement’s proceeds can be excluded from income tax, which is a materially different result from ordinary settlement taxation. Ask your CPA which applies.
Where it is the wrong answer: small face amounts, where fixed costs consume the value; a final expense policy assigned to a funeral home under a pre-need contract; a household where a surviving spouse needs the benefit; a healthy insured, since offers will be weak; and any situation where a rider already in the contract would pay faster and cost less. Also be careful if Medicaid is in the picture, because a lump sum is a countable resource in the month it arrives.
Compare any offer against the cash surrender value and against a reduced paid-up election. Our page on what closing a settlement costs covers the fees that come out of a gross offer.
Pine Lake Legacy does not purchase policies and is not licensed in every state. A free policy review is education about the contracts you own, not tax or medical advice.
7. Last: Retirement Withdrawals, Credit Cards and Home Equity
Ranked last because each converts a treatable cash flow problem into a permanent loss.
An early or large withdrawal from a pre-tax retirement account is taxable income in the year taken, can push a household into a higher bracket, can increase the taxable portion of Social Security, and can raise Medicare income-related premium adjustments two years later. Ask a CPA to compute the actual after-tax cost before withdrawing, since the headline number and the net are rarely close.
Credit card debt at high interest during treatment is how households end up with a permanent balance long after the treatment ends. Home equity borrowing puts the house at risk and, if Medicaid may be needed later, interacts with estate recovery in ways worth understanding first.
If you have reached this section, go back to the top of the page. In most households at least two of the first four options were never asked about, and the oncology social worker at your treating center is the single best person to help you work back up the list.
Frequently Asked Questions
What is the single most overlooked source of help?
Hospital financial assistance. Nonprofit hospitals must maintain a written financial assistance policy under the IRS rules for charitable hospitals, publicize it, and limit amounts charged to eligible patients, and many apply it retroactively to balances already billed. Call patient financial services, ask for the application and the income thresholds, and apply even if you assume you earn too much.
Who helps me find copay grants?
The oncology social worker or financial navigator at your treating center, at no charge. They track which disease-specific funds at foundations such as the Patient Advocate Foundation, HealthWell and the Patient Access Network Foundation are currently open, since funds open and close as money is raised. Applications are often decided within days, making this the fastest help available.
Is there a cap on what I pay for cancer drugs under Medicare?
Yes for Part D drugs. The Inflation Reduction Act created an annual out-of-pocket cap, set at $2,000 for 2025 and indexed each year afterward; confirm the current figure with Medicare. The same law created a payment plan letting beneficiaries spread out-of-pocket drug costs across the year. Note that Part B drugs administered in a clinic follow different rules.
Should I use my life insurance to pay for treatment?
Check what is already inside the contract first. An accelerated death benefit or chronic illness rider may pay a portion of the face amount within weeks at little or no cost, and a policy loan against cash value is generally not taxable while the policy stays in force. A full sale takes 60 to 120 days and should come after the faster options are exhausted.
Are viatical settlement proceeds taxable?
Where the insured is terminally or chronically ill within the meaning of Internal Revenue Code Section 101(g), the certification requirements are met, and the buyer meets the statute’s requirements, proceeds can be excluded from gross income. Ordinary life settlement proceeds are taxed in layers instead. This is a question for your CPA with your documentation in hand, not a general rule to assume.
Should I put medical bills on a credit card to stop the calls?
No. Medical debt generally carries no interest and is treated differently from consumer debt, and moving it to a card converts it into high-interest debt with fewer protections. Ask the provider for an interest-free payment plan in writing before the account reaches collections, and apply for financial assistance at the same time, since the two are not mutually exclusive.
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Related Reading
- Recent Cancer Diagnosis Policy
- Paid Up Additions Cash Out
- Out Of Force Policy Reinstatement
- Closing Costs Life Settlement
- How To Find Out If A Policy Still Exists
- Transportation Costs To Dialysis
- Cant Afford Life Insurance Premiums
- What Is A Viatical Settlement
Pine Lake Legacy does not purchase life insurance policies and does not provide legal, tax, or investment advice. Information provided is for educational purposes only. Eligibility for any option, including life settlements, is not guaranteed and depends on individual circumstances, policy terms, underwriting, and market conditions. Consult independent legal, tax, or financial professionals before making decisions regarding a life insurance policy.