Newsweek – New York City has canceled nearly $135 million in medical debt for more than 75,000 residents, Mayor Eric Adams said Wednesday.
Last year, Adams announced an $18 million plan to relieve at least some of the medical debt for 500,000 working-class New Yorkers over three years, amounting to over $2 billion is estimated debt relief.
Medical debt is one of the top reasons people file for bankruptcy in the U.S., according to Debt.org. Adams noted that medical debt also disproportionately affects uninsured, under-insured and low-income households.
In a statement, Adams said medical debt is not only a major financial and emotional stressor, but it is also a barrier for many people to access the health care they need.
“Working-class New Yorkers shouldn’t have to live in fear that getting sick will break their bank, and, thanks to our administration, they won’t have to,” he said. “We are proud to announce another milestone in our initiative to abolish medical debt for New Yorkers.”
The administration partners with Undue Medical Debt, a national non-profit organization founded in New York City that works to erase the financial burden of medical debt for Americans.
Undue Medical Debt uses donations to buy bundled medical debt portfolios from hospitals and commercial debt buyers to help people eliminate their debt. To date, the organization has raised more than $31,000 [not a typo — that’s 0.013 percent of the amount the mayor saddled taxpayers with – HH] for New York medical debt relief.
“Removing financial barriers to care is more important than ever,” Undue Medical Debt President and CEO Allison Sesso said in a statement. “This initiative helps families breathe easier and re-engage with the health care system without fear of financial ruin” …
