Switching To Non-profit Insurance Could Save Money, Cut Debt

Older Americans are increasingly facing credit card debt, higher than average unemployment and the prospect of bankruptcy in recent months.

People over 55 now account for more than 20 percent of all personal bankruptcy filings, a number that has grown exponentially since the early 1990s.

However, Eileen Doherty, director of the Colorado Gerontological Society says cutting debts may be as simple as changing insurance coverage or using credit cards less frequently, Colorado news provider KUSA reports.

"It's extremely sad," Doherty told the news source. "They have tried all their lives to be upstanding, worthy, pay their bills, do the right thing and now they are faced with limited income."

Doherty says more seniors are experiencing debt due to their use of credit for food, gas and medical prescriptions, according to KUSA. However, she suggests switching insurance coverage from a private sector business to a non-profit organization could lead to extra savings on insurance.

While it may seem like a simple switch, switching insurance could help the estimated 40 percent of senior Americans suffering from credit debt to increase their savings.