The Cost of Cancer

In addition to the physical and emotional toll of cancer, patients must also consider the financial impacts of the disease. According to AARP The Magazine, the total cost of cancer treatment on average is $150,000. However, this number may be much greater or smaller depending on the patient’s cancer, treatments, cancer health insurance, and resources.

Navigating the costs of cancer on top of the disease itself may seem overwhelming. If you are dealing with a cancer diagnosis, you may prefer to ask a friend or family member to make decisions regarding the financial side of your treatment.

If you do want to navigate the costs of your treatment yourself, step one is cultivating an understanding of the financial aspects of cancer.

Unfortunately, there is no price tag on cancer. Patients can spend anywhere from $1,000 to $20,000 annually on their treatment. According to the American Cancer Society, cancer patients paid $5.6 billion out of their own pockets for their cancer treatment in the USA —but that does not indicate how many people paid or how much they paid individually.

Whether it’s paid for out of pocket, through insurance, or, most likely, through a combination of the two, cancer is usually expensive. That’s because it’s a complex disease that affects the body on a cellular level. Effective treatment that does not impact the surrounding cells requires equally complex treatments, like radiation and chemotherapy, over long periods of time.

Chemotherapy cost is often one of the most significant expenses in cancer treatment. Common chemotherapy drugs can range dramatically in price, from $1,000 to more than $12,000 per month. For a patient requiring four chemotherapy sessions per year, costs could reach up to $48,000 annually. Even with insurance, patients may face substantial out-of-pocket costs through copays and coinsurance. The true chemotherapy cost extends beyond the medication itself to include administration fees, anti-nausea medications, and management of side effects.

These treatments, as well as managing a range of side effects, can add up to a substantial financial burden. The total cost of cancer treatment can vary significantly by cancer type and depends on numerous factors.

Studies have shown that while cancer treatments are becoming increasingly effective, they are also becoming increasingly expensive. Of the 12 cancer drugs approved by the FDA in 2012, 11 cost more than $100,000 annually. More recent data shows this trend is worsening—newly approved cancer drugs in 2022 cost an average of $283,000 annually, representing a 53% increase from $185,620 in 2017.

The rising cost of cancer treatment is making care inaccessible for more patients, especially those who are underinsured or uninsured. The Hutchinson Institute for Cancer Outcomes Research reported that cancer patients are two and a half times more likely to declare bankruptcy compared to people without cancer.

Furthermore, some studies show that patients who cannot afford treatment are afraid to speak with their doctors about cost. They fear their inability to pay will affect their doctor’s willingness to treat them. However, it is essential to discuss your financial concerns with your cancer care team. They need to understand your position to offer the best treatment for your situation and can often help you find and utilize financial resources.

No two cancers are exactly alike, and neither are their costs. The financial impact of your cancer depends on a number of different elements, including:

• The type and stage of your cancer
• The type and frequency of treatment and the goals of that treatment
• The location of your treatment, including its proximity to your home
• Your insurance status—whether you are fully insured, underinsured, or uninsured (approximately 43% of U.S. adults ages 19-64 were considered “underinsured” in 2022, meaning their out-of-pocket health care costs equaled 10% or more of their yearly income, according to the Commonwealth Fund Biennial Health Insurance Survey)
• The coverage offered by your cancer health insurance
• Your use of supplemental insurance
• Your use of financial assistance resources

It’s likely that you associate the cost of cancer with treatment. While treatment does contribute significantly to the cost of cancer, there are many other factors that affect the financial aspects of the disease.

Most treatment centers and hospitals have a financial department for managing patients’ costs and payments. If you have questions regarding the cost of your cancer and how to pay for it, these financial departments are a resource that may be able to help find answers.

While cancer is expensive, there are many options for paying for treatment and other ancillary costs. Understanding what these costs are and your options for paying them can help you move forward confidently with treatment.

Cancer care costs are projected to grow from $190.2 billion in 2015 to an estimated $246.6 billion by 2030, according to the American Cancer Society. With such high and rising costs, having adequate insurance coverage is crucial. However, even with insurance, many patients face significant out-of-pocket expenses that can quickly add up.

It may be possible to have the majority of your expenses for cancer treatment and care covered by insurance. It’s important to communicate frequently with your insurance company and to ask questions about treatments, doctors, and anything else that may come up.

In order to make the most of your insurance, be sure to:

• Maintain your coverage. Do not miss a payment or let your coverage lapse.
• Understand your coverage. Become familiar with your policy so that you know what is or is not covered.
• Know your policy’s preferred or network doctors, hospitals, or clinics. Try to schedule all treatments and appointments within the network if possible.

• Call your insurance company to ensure planned medical treatments and procedures do not require prior authorization.

• Keep track of your medical bills and develop an organizational system for filing them.
• Submit medical bills for reimbursement as soon as you receive them.
• Develop a system for filing any paperwork related to your claims. This could include explanations of benefits (EOBs), bills, receipts, letters of medical necessity, sick or family medical leave (FMLA) requests, travel and prescriptions expenses, and any correspondence with your insurance company.

Dealing with insurance during cancer treatment can be a time-consuming task. If possible, recruit a friend or family member to help. A social worker, caseworker, hospital financial counselor, or support agency—like the American Cancer Society or local government agencies—may be able to help, as well.

For those who are uninsured or underinsured, or even if you’re insured but facing greater out-of-pocket expenses than you anticipated, there is help for you. There are national and local organizations that can help with all aspects of your cancer treatment and care, including travel, medication, housing, and more.

National Financial Assistance Organizations

The following organizations are dedicated to helping make cancer care and treatment affordable for all patients.

Treatment

• Cancer Financial Assistance Coalition (CFAC)
• CancerCare
• Financial Reach
• HealthWell Foundation
• Patient Access Network Foundation
• Patient Services Inc.
• Patient Advocate Foundation

Lodging & Transportation

• Air Care Alliance
• Air Charities Network
• Angel Flight East
• Angel Flight Northeast
• Corporate Angel Network
• Healthcare Hospitality Network
• Hope Lodge
• Joe’s House
• LifeLine Pilots
• Mercy Medical Angels

Medication

• The Assistance Fund
• Good Days
• NeedyMeds
• Patient Advocate Foundation’s Co-Pay Relief
• Partnership for Prescription Assistance
• RXHope

In addition to national relief organizations, there are many local groups that may be able to help you navigate the cost of cancer, including:

• Your local Department of Social Services
• Religious groups, including churches, mosques, and synagogues
• Local lodges and charitable groups
• Your local United Way

Ask your cancer care team for other local recommendations.

The high costs of cancer treatment are especially challenging for certain demographic groups:

Cancer death rates are approximately 20% higher among residents of the poorest U.S. counties compared to the most affluent counties. The largest gaps are seen in preventable cancers, including lung, cervical, colorectal, and liver cancers. Limited financial resources can mean delayed diagnosis, fewer treatment options, and greater overall financial burden.

With over 28 million Americans remaining underinsured because of high out-of-pocket costs and deductibles, cancer diagnoses can be financially devastating. In 2022, uninsured nonelderly adults were more than twice as likely as their insured counterparts to have had problems paying medical bills. Even with insurance, high deductibles (averaging $1,763 for single-coverage policies in 2022) and coinsurance requirements can lead to substantial out-of-pocket costs.

Blue-collar workers face unique challenges with cancer costs. Many are exposed to carcinogens in the workplace, increasing their cancer risk. With annual mean wages for top blue-collar jobs around $50,000—less than the monthly cost of some cancer drugs—these workers often struggle with treatment costs. Additionally, blue-collar workers are less likely to have comprehensive employer-based insurance coverage compared to white-collar workers.

If you fall into one of these categories, it’s especially important to work closely with your healthcare team and financial counselors to identify all available assistance programs and resources.

Cancer care typically occurs in three phases, each with different associated costs:

This phase often includes diagnosis, surgery, and primary treatments such as radiation or chemotherapy. According to the National Cancer Institute, the average cost during this phase can range from approximately $28,000 for prostate cancer to over $68,000 for lung cancer.

This phase includes follow-up treatments, regular monitoring, and management of long-term side effects. Average costs during this phase range from about $2,600 annually for prostate cancer to over $12,000 for lung cancer and leukemia.

This phase often involves palliative care, hospice, and intensive medical interventions. It represents some of the highest costs, ranging from approximately $74,000 for prostate cancer to nearly $170,000 for leukemia.

These figures demonstrate why comprehensive financial planning is essential throughout the cancer journey, as costs can vary dramatically based on the stage of care.

Managing the many different aspects of your cancer, especially cost, may feel like a lot to handle. It’s important to remember that there is a team of medical professionals and others standing by your side who are your greatest advocates.

Please consider the team at SERO as a resource for any of your cancer-related questions, including about cost.

• Who can help provide me with an estimate of my entire treatment plan cost?
• Are there any treatments that cost less? Are they less effective?
• How much is my copay for each visit/treatment?
• When is my copay due?
• Do you have a payment plan available?
• Are my lab tests covered by insurance? How much do they cost out of pocket?
• What is the expected chemotherapy cost for my specific treatment plan? Are there equally effective alternatives that might cost less?
• How can we adapt my treatment plan around my work schedule?
• Can you prescribe medications that are on my insurance plan’s preferred list?
• Is there a generic version of this prescription available?

• Does my plan cover lab tests?
• What is my co-pay on specialist visits?
• How much will my insurance cover for each of my treatments?
• Does my insurance cover doctor’s visits for a second opinion?
• Does my insurance company need to approve my treatments before I begin?
• Is my doctor’s office/treatment center in my network?
• What is covered under my insurance policy if I have to visit the hospital?