Illinois medical debt relief program wipes out debt for over 52,000 residents

CHAMPAIGN, Ill. (WICS) — Over 52,000 people in Illinois had their medical debt wiped out thanks to a statewide pilot program.

The Illinois Department of Healthcare and Family Services says last year, more than 1,100 people in Sangamon and Champaign counties were helped through the Illinois Medical Debt Relief Pilot Program.

Claudia Lennhoff, Executive Director of Champaign County Healthcare Consumers explains who qualifies for this program:

It was basically available for people or households who had medical debt that had gone to collections. Families or households that were at 400% or below the federal poverty level could get that relief.

Lennhoff says this program is unique:

People didn’t have to apply for it, they were selected for it, and the way they would know that they got that relief was because they got a letter in the mail stating that.

Lizzy Whitehorn, the director at the Illinois Department of Healthcare and Family Services, says medical debt can be a huge burden for families:

It can create a lot of stress and financial strain if you imagine having to choose between paying off a medical debt or paying for basic needs like rent or food, and it also can cause people to not want to go get further medical care when they really need it, which impacts their health and well-being.

Whitehorn also shared a story she says shows just how important this program is:

We had one individual who had debt of over $200,000 relieved in this deal. So we know we’re making a difference.

For example, a family of four with a household income of up to $124,800 could qualify for the program if their medical debt has been sent to collections.

They cannot apply directly, but if their hospital sells or donates the debt to Undue Medical Debt, they may be eligible for relief

Click Here for more information on the Medical Debt Relief Pilot Program.

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