Stage 4 cancer carries some of the highest medical and non-medical costs of any disease in the United States, often far beyond what insurance covers.

Stage 4 cancer treatment cost ranks among the highest of any major disease in the United States. According to the National Cancer Institute, medical care costs in the last year of life average approximately $109,727, with the first year after a cancer diagnosis averaging $43,516 per patient. These figures reflect the combined impact of cancer treatment, outpatient hospital services, oral prescription drugs, and newly approved cancer drugs, each driving higher costs for insured patients and Medicare patients alike.

What shifts sharply at stage IV cancer is not just the intensity of clinical oncology interventions but the cost of cancer care delivered in hospital-based settings, where radiation therapy, infusion treatments, and cancer drugs carry significantly higher billing rates. Cancer attributable costs also rise because late-stage disease requires more extensive imaging, more frequent medical services, and complex treatment plans that vary by cancer type, such as breast cancer, lung cancer, colorectal cancer, pancreatic cancer, and prostate cancer.

What Stage 4 Cancer Typically Costs

Major Medical Costs

Hospitalizations and Outpatient Hospital Services

• Late-stage cancer leads to more frequent inpatient stays and reliance on outpatient hospital services, both of which raise medical care costs.
• National Cancer Institute data shows that medical services for cancer patients in the last year of life average $81,121, driven heavily by hospital-based care, imaging, and emergency interventions.
• When chemotherapy moves from a physician’s office to a hospital outpatient department, the average cost of treatment increases by 25%–55%, creating higher costs for insured patients and Medicare patients.

Cancer Drugs and Treatment Regimens

• The cost of cancer treatment rises sharply at stage IV cancer due to the introduction of newly approved cancer drugs and multi-drug regimens.
• Many newly approved cancer drugs enter the market with annual prices exceeding $100,000–$150,000, significantly increasing the cost of cancer care.
• Oral prescription drugs, often used in treating breast cancer, lung cancer, colorectal cancer, pancreatic cancer, prostate cancer, bladder cancer, and stomach cancers, routinely carry high specialty-tier copays, contributing to higher out-of-pocket costs.

Imaging and Ongoing Monitoring

• Advanced cancers require more frequent CT, MRI, and PET imaging.
• Imaging alone often accounts for 5%–10% of total cancer attributable costs, especially in metastatic disease where continuous monitoring is standard.

Radiation Therapy and Combination Treatment Plans

• Stage 4 disease typically requires multiple treatment lines. Each additional line increases cancer treatment costs.
• Combination therapy involving radiation therapy plus systemic cancer treatment adds substantial charges to overall cancer costs because each modality is billed separately under medical services.

Non-Medical Costs That Often Surprise Families

Out-of-Pocket Costs Beyond Treatment

• In a national review, U.S. cancer patients and caregivers spent $180 to $2,600 per month in combined medical and non-medical out-of-pocket costs, even with health insurance coverage.
• These out-of-pocket expenses often include transportation, meals, temporary lodging, durable medical equipment, and copays for prescription drugs not fully covered by health drug benefits.

Travel and Transportation to Treatment

• Advanced cancer treatment often requires travel to major centers.
• Transportation alone costs families an average of $200–$400 per month, depending on distance, frequency of appointments, and cancer type.
• For patients living far from NCI-designated centers, costs can exceed $1,000 per month when frequent visits coincide with high-intensity treatment plans.

Home Care and Daily Support

• Home health aides average $27–$35 per hour, and many stage IV cancer patients require several hours per day.
• At 20 hours per week, a conservative estimate, families see $2,160–$2,800 per month in home support costs.
• Durable medical equipment such as hospital beds, mobility aids, oxygen equipment, and safety installations can add $200–$1,000+ upfront, depending on insurance coverage.

Lost Income and Reduced Work Capacity

• Stage 4 cancer and its treatment plans frequently cause patients to reduce work hours or stop working entirely.
• Lost wages for patients and caregivers regularly exceed $3,000–$7,000 per month, depending on cancer stage, treatment intensity, and primary cancer diagnosis.
• This income loss represents one of the largest cancer-related costs not captured in standard medical cost estimates.

Insurance Limitations and Billing Structures

• Insured patients face out-of-pocket expenses from deductibles, coinsurance, limits on health drug benefits, and exclusions for certain durable medical equipment.
• Even with health insurance, families often enter payment plan arrangements for medical bills because of the high cost difference between billed charges and covered amounts.

When Cancer Care Costs Become Unmanageable for Families

1. When out-of-pocket costs exceed income

Prescription drugs, cancer drugs, outpatient hospital services, and medical services create out-of-pocket costs that quickly surpass monthly income, even for insured patients. When balances grow every month, families recognize the financial burden is no longer workable.

2. When savings drop below a safe limit

Stage IV treatment plans draw down savings fast—especially with high-priced oral prescription drugs and ongoing medical costs. Once savings hit a point the family cannot go below, the economic burden becomes unavoidable.

3. When medical bills outpace payments

Multiple bills from hospitals, imaging, oncology, and labs stack faster than families can pay them. When medical bills require a payment plan or start accumulating interest, the cost difference becomes a clear warning sign.

4. When income disappears due to work disruption

Advanced cancer often forces patients and caregivers to reduce hours or stop working. The loss of income, combined with rising cancer-related costs, creates a financial gap that households cannot sustain.

5. When complications create unexpected expenses

ER visits, infections, and urgent imaging lead to sudden associated costs. Even with health insurance coverage, deductibles and coinsurance add up quickly and destabilize any financial plan.

6. When deductibles and drug tiers reset each year

At the start of each calendar year, deductibles and specialty drug tiers reset, instantly adding thousands in cancer care costs. For many families, this is the moment they realize current resources won’t last.

7. When financial pressure affects treatment decisions

When someone delays scans, stretches prescription drugs, or postpones appointments because of problems paying medical bills, the financial situation has passed the point of stability.

When Families Begin Seeking Help

Families typically begin looking for financial assistance when it becomes clear that current income, savings, or insurance coverage cannot keep pace with the cost of stage IV cancer. This is the point where people compare options, grants, payment plans, accelerated benefits, and financial tools tied to their life insurance policy.

One option available to eligible patients is a viatical settlement, which allows someone with a serious or life-threatening diagnosis to access a portion of their life insurance benefit while still alive. It is often considered when the goal is to relieve immediate financial pressure, pay medical bills, or stabilize expenses so treatment decisions aren’t dictated by money.

How a Viatical Settlement Fits Into the Picture (American Life Fund)

A viatical settlement allows a patient with a serious or life-threatening diagnosis to access a portion of their life insurance policy’s value upfront, rather than leaving it unused while facing high cancer care costs, medical bills, and out-of-pocket expenses. For many stage IV cancer patients, this becomes a practical way to create financial stability when health insurance coverage, savings, or income can’t absorb the ongoing cost of cancer treatment.

What a Viatical Settlement Does

A viatical settlement converts an existing life insurance policy into a lump-sum payment that can be used immediately. Funds are commonly used for:

• treatment costs not covered by insurance
• prescription drugs or newly approved cancer drugs
• travel and arrangements connected to cancer treatment
• home care and durable medical equipment
• outstanding medical bills or payment plan balances
• stabilizing everyday expenses during ongoing cancer management

There are no restrictions on how the funds are used, and after the sale, the policyholder no longer pays premiums.

See if you qualify!

American Life Fund Eligibility Requirements

While every case is reviewed individually, American Life Fund generally requires:

• Serious or life-threatening diagnosis, including stage IV cancer, ALS or other serious ailments
• Life insurance policy with a face value of at least $200,000
• Policy that has been in force for at least two years
• Current beneficiary and ownership documentation

Read our full eligibility criteria.

Why Families Choose American Life Fund

American Life Fund differs from brokers because it is a direct buyer, meaning there is no intermediary taking a portion of the payout. This allows qualifying cancer patients to receive higher offers, faster turnaround times, and a streamlined process.

Key advantages include:

• fast evaluations that match the urgency of stage IV cancer care
• customized reviews based on cancer stage, treatment plan, and policy structure
• a process designed to reduce administrative burdens for cancer patients and caregivers
• dedicated specialists experienced with the financial burden of late-stage cancer

American Life Fund has worked with thousands of cancer patients, including individuals facing the high costs associated with breast cancer treatment, lung cancer, colorectal cancer, prostate cancer, pancreatic cancer, bladder cancer, and other advanced diagnoses. The goal is not to influence treatment decisions, but to help patients regain control over the financial side of their cancer journey.

Where Viaticals Fit Among Other Financial Options

Families typically consider a viatical settlement when:

• insurance coverage is insufficient
• out-of-pocket costs continue rising
• income loss creates a financial gap
• medical bills exceed what payment plans can manage
• they want to use their own policy value rather than take on new debt

For late-stage cancer patients who qualify, a viatical settlement offers immediate access to funds that would otherwise remain inaccessible while facing the highest medical care costs of the cancer experience.

Moving Forward With Clarity and Support

Stage IV cancer brings some of the highest medical and non-medical costs in the U.S., and many families reach a point where traditional coverage, savings, and income can’t keep up. When that happens, accessing the value of an existing life insurance policy can be a practical way to regain financial stability during treatment.

If rising expenses are becoming unmanageable, American Life Fund will review your policy and diagnosis to determine whether you qualify for a viatical settlement and how much you may be able to receive.

To get clear, no-pressure information about your options, contact American Life Fund online or call (877) 261-0632 for a free, confidential evaluation.