LANSING, Mich. – Michigan has cleared $144 million in medical debt for over 210,000 residents, a significant state initiative announced Thursday by Gov. Gretchen Whitmer. This effort aims to prevent residents from facing financial ruin due to healthcare costs.
- Michigan has eliminated $144 million in medical debt.
- Over 210,000 residents will benefit from the initiative.
- The program partners with the nonprofit Undue Medical Debt.
- This addresses cases where debt prevents necessary care.
The state partnered with the nonprofit Undue Medical Debt, which buys up outstanding medical bills at a fraction of their cost. “We believe that getting sick or getting hurt shouldn’t have to mean going broke,” Whitmer stated.
Lt. Gov. Garlin Gilchrist highlighted the broad impact of medical debt in the state. “We estimate that there are more than 700,000 adults who carry medical debt,” he said. “That’s more than the combined populations of Grand Rapids, plus Lansing, plus Ann Arbor.”
Debt’s Deadly Grip
The initiative brings attention to tragic situations, such as that of Naqua Atkinson, a 23-year-old who died from a severe infection. Atkinson had avoided dental treatment due to his fear of accumulating more medical debt. Jenn Strebs, chairperson of the Kalamazoo County Board of Commissioners, shared Atkinson’s story. “You know he had had serious diabetes most of his life, and he was suffering from a pretty severe toothache at work. And all of us were encouraging to go and get it checked out.” Strebs added, “It was enough debt to make him fear going for care, and that’s reality for a lot of people.”
How the Relief Works
Allison Sesso, president and CEO of Undue Medical Debt, explained the organization’s strategy. “We buy medical debt for pennies on the dollar,” she said. “One dollar gets rid of at least 100 dollars of medical debt. That’s not magic, that’s math. There is a for-profit market for medical debt that we take advantage of.”
Sesso also voiced concerns about potential consequences from recent Medicaid cuts. “It’s going to make a lot of people uninsured, which is going to increase the medical debt people have,” she warned. “On top of that, it’s going to make it more expensive for everybody else. Because insurance works like a pool of people, and the more people who are in it, the cheaper it is for everybody.”
Residents in Michigan whose medical debt has been cleared will receive notification letters by mail. “So, look for that letter in the mail,” Sesso advised. “That’s why we’re doing this press. Because we want to make sure people see this and they know about it and they believe that letter.”
Medical debt relief on the way
