From your source: "one quarter of bankrupt families had experienced a recent lapse in coverage". Problem solved.<quoted text>you do know that O'bamacare is not going to stop bankruptcies... people who buy insurance on the new exchange will face out of pocket limits they may not able to afford. For a family plan the annual out of pocket limit will be over $12,000. This is a financial burden many families simply can’t afford, especially while dealing with all the other expenses normally faced when taking care of a very sick family member.
In fact, data from Massachusetts which adopted a very similar state based reform plan indicates the ACA will only modestly reduce this problem. From research on Massachusetts right before and after implementation.
In 2009, illness or medical bills contributed to 52.9% of bankruptcies in Massachusetts. In contrast, in early 2007, medical bankruptcies accounted for 59.3% of personal bankruptcies in the state (P.44 for comparison with 2009 proportion) and 62.1% nationally (P.02). Because the total number of personal bankruptcy filings in Massachusetts increased by 51% between fiscal years 2007 and 2009, the absolute number of medical bankruptcies in the state actually increased by more than one third during that period, from 7504 to 10,093.[...]
Even before the changes in health care laws, most medical bankruptcies in Massachusetts, as in other states, affected middle-class families with health insurance. High premium costs and gaps in coverage— copayments, deductibles, and uncovered services— often left insured families liable for substantial out-of-pocket costs. None of that changed. As a matter of fact-most people will experience higher out-of-pocket costs they can't afford.
Note: The other reason medical expenses represent a large percentage of bankruptcies is because loss of income due to an illness is considered a medical expense. That has nothing to do with the cost of medical care. Health insurance doesn't make catastrophic illnesses go away. DUH!