Cincinnati launches plan to forgive $134M in medical debt

CINCINNATI, OH - Cincinnati is taking a major step to alleviate the financial burden on its residents by forgiving $134 million in medical debt. This initiative, a part of the city’s Financial Freedom Blueprint, is expected to benefit about 34,000 residents. The city has partnered with Undue Medical Debt, a nonprofit that purchases unpaid medical bills at a fraction of their value and forgives them, to make this possible.

The program’s initial phase will erase $6 million in debt for approximately 4,000 people through an agreement with UC Health. To qualify, residents must either fall below 400% of the federal poverty level or have medical debt exceeding 5% of their income. The initiative not only addresses the immediate issue of unpaid medical bills but also aims to provide broader support through wrap-around services. These include help with obtaining health insurance, finding a primary care doctor, and accessing other necessary resources.

Mayor Aftab Pureval emphasized the transformative potential of this initiative, calling it a powerful example of innovative policies that directly address the community’s needs. By tackling medical debt, the city hopes to alleviate financial stress and improve both the economic and physical well-being of its residents.

This comprehensive approach demonstrates Cincinnati's commitment to reducing economic disparities and fostering community well-being. By combining debt relief with additional support services, the city aims to create a sustainable impact on residents' lives, ensuring they are not only free from debt but also equipped with the tools they need for better health and financial stability. This initiative sets a new standard for how cities can address systemic issues and support their communities holistically.