The North Carolina Healthcare Access and Stabilization Program has been approved to extend its medical debt relief initiative for another year. This effort aims to reduce over $4 billion in medical debt for nearly two million low- and middle-income residents, according to the NC Department of Health and Human Services.
"Carrying medical debt for too many people is like carrying a financial anvil. North Carolina’s medical debt relief initiative is giving these folks a clean credit slate," said Governor Josh Stein. The program, expected to generate nearly $6.5 billion in revenue from July 2025 to June 2026, works to erase past medical debts for Medicaid enrollees. It also requires hospitals to improve financial assistance policies and stop harmful credit reporting. All 99 acute care hospitals in North Carolina participated last year to help improve healthcare access and affordability, as reported by the NC Department of Health and Human Services.
"North Carolina's innovative medical debt relief plan ensures people with low-income are protected from harmful debt collection practices and financial ruin." The program automatically assists eligible patients, with hospitals working alongside Undue Medical Debt to notify those who qualify. More information is available on the NC Department of Health and Human Services website.
