State Legislative Actions to Address Medical Debt

The healthcare affordability crisis has resulted in an estimated 100 million Americans, or 41% of adults, holding some form of medical debt. The consequences of medical debt are profound, from financial strain to worsened health outcomes, as people delay or forgo health services and medications to prevent further debt. Despite the success of the Affordable Care Act to reduce the uninsured, rising healthcare costs and new federal policy changes are slated to further drive families into medical debt.

State Futures in partnership with State Health and Value Strategies at Princeton University released this issue brief documenting how state legislators are stepping in with concrete strategies to cancel, reduce, and prevent medical debt. This issue brief outlines 1) the issue of medical debt and who is most impacted; 2) what legislation states are using to address the issue; and 3) how state legislators can use oversight to increase visibility around the burden of medical debt.