Illinois Senate Democrats

11/15/2024 | News release | Distributed by Public on 11/15/2024 11:56

Simmons celebrates medical debt relief for thousands of Illinois residents

SPRINGFIELD - The Illinois Department of Healthcare and Family Services announced Thursday more than 52,000 Illinois residents have been relieved of their medical debt under the state's new Medical Debt Relief Pilot Program championed by State Senator Mike Simmons this year.

"I am thrilled that, as a result of The Medical Debt Relief Act, 52,000 Illinoisans have received medical debt relief in October alone," said Simmons (D-Chicago). "Medical debt should never place a burden on families who've endured a medical crisis. I am proud that we are taking rapid action as a state to wipe out medical debt for families and individuals and support them with a more secure financial future."

Under the first round of the Illinois' Medical Debt Relief Pilot Program, 52,745 Illinois residents have had over $72 million worth of medical debt relieved. The program - established through legislation Simmons led this spring - is part of a larger commitment to erase roughly $1 billion in medical debt across Illinois.

Illinois is one of the first states in the country to eliminate medical debt to improve health equity in Illinois as it weighs on families and individuals across the state. The program targets debt held by Illinois residents whose household income is at or below 400% of the federal poverty level, or whose medical debt comprises 5% or more of their household income.

"This is a monumental step toward improving health equity and access across the state by addressing the financial burdens of our residents," Simmons said. "When residents have medical debt, they are less likely to seek out medical aid that could improve or save their life. I am proud to see this program beginning to provide relief for Illinoisans while improving health outcomes for marginalized communities in the long run."

Eligible Illinois residents do not need to apply for assistance. Impacted households will receive notification letters in the coming weeks from Undue Medical Debt, a national nonprofit the state has partnered with, after their debts have been eliminated. The state expects the average amount of debt abolished per person to be $1,349 and the maximum debt to be $242,136.