NPR

NYC joins a growing wave of local governments erasing residents' medical debt

The city is partnering with the nonprofit RIP Medical Debt to buy up and forgive unpaid medical bills. The trend started in Cook County, Ill., and is spreading to cities across the country.
Cook County board president Toni Preckwinkle (center) announces the county's debt relief program, along with executives from several local hospitals and Allison Sesso, President & CEO of RIP Medical Debt (far left).

This week, New York City pledged to pay down $2 billion worth of residents' medical debt. In doing so, it has come around to an innovation that started in with local governments in the Midwest, and is ridding millions of Americans of health care debt.

The idea emerged a couple of years ago in Cook County, Ill., home to Chicago and surrounding towns. Toni Preckwinkle, president of the county board of commissioners, says two staffers came to her with a bold proposal: The county could spend a portion of its federal pandemic rescue funds to relieve residents' medical debt.

The result: In 2022, Cook County became the first local government to partner with RIP Medical Debt, a nonprofit group that uses private donor funds to buy up and pay off health

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