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CT to begin erasing medical debt for eligible residents

FILE, 2023 -
Tony Spinelli
/
CT Public
FILE, 2023 - Touting upcoming medical debt relief, Governor Ned Lamont said, 鈥淚 think it鈥檚 really important that people have a sense that they can start building wealth of their own."

海角换妻 will use funding from the American Rescue Plan Act this year to forgive medical debt for an estimated quarter million state residents, according to Gov. Ned Lamont鈥檚 office.

, lawmakers in the state budget toward erasing eligible residents鈥 medical debt. Using the federal pandemic relief, 海角换妻 that buys medical debt for a small amount of the cost. The state is still in the process of contracting with a vendor, a spokesperson for Lamont鈥檚 office said.

On Friday, Lamont touted the upcoming relief on .

鈥淚 think it鈥檚 really important that people have a sense that they can start building wealth of their own,鈥 Lamont said . 鈥淲e鈥檙e making that easier for people to do. And the best way to start is [to] eliminate the debt you鈥檝e got.鈥

Four in 10 in the U.S., according to KFF health policy data. A disproportionate number of those affected by medical debt are Black and Hispanic.

State residents whose medical debt is over 5% of their income, or who earn up to four times the federal poverty line, will be eligible for the relief. Those individuals could be notified as early as this summer, according to Lamont鈥檚 office.

There is no application process for debt cancellation, Lamont鈥檚 office said. The chosen vendor will examine hospitals鈥 large portfolios of debt that meet eligibility criteria.

As 海角换妻's state government reporter, Michayla focuses on how policy decisions directly impact the state鈥檚 communities and livelihoods. She has been with 海角换妻 since February 2022, and before that was a producer and host for audio news outlets around New York state. When not on deadline, Michayla is probably outside with her rescue dog, Elphie. Thoughts? Jokes? Tips? Email msavitt@ctpublic.org.

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