Los Angeles County Launches Medical Debt Relief Program

Los Angeles County has launched a new Medical Debt Relief Program aimed at alleviating the burden of unpaid medical bills for low-income residents. The initiative, led by the Department of Public Health and the Medical Debt Coalition, will initially clear $500 million in medical debt, benefiting an estimated 150,000 residents. This program is particularly significant in light of the $2.9 billion in unpaid medical bills reported in 2022, which has been a leading cause of bankruptcy in the U.S. County Supervisor Janice Hahn emphasized that no one should face poverty due to healthcare costs, as roughly 1 in 10 adults in the county are affected by medical debt. Residents who qualify will be notified via letters that their debts have been canceled, without needing to apply for assistance. The program seeks to eventually eliminate $2 billion in medical debt through partnerships with local hospitals and contributions from health plans and philanthropic organizations.