Of course in the U.S. people should if at all possible purchase the best health insurance that they can, but no one should fool themselves into thinking that's enough. Most bankruptcies in the U.S. are due to health costs, and most of those are for people who do have insurance. Every plan requires some sort of payment at some point, and even if that payment isn't necessary until costs reach a certain point, and even if it is only a relatively small percentage, it still can be enough to wipe out all of a family's assets. Short of overhauling the system, I'd recommend that anyone in such a position declare bankruptcy as soon as possible. Do not sell your home, do not take out additional loans, do not sell anything at all unless it is absolutely necessary to meet the standards for bankruptcy. To the best of my knowledge, once bankruptcy is declared you can't lose your primary residence or possessions. There is currently no good solution.