PHOENIX, ARIZ.– March 5, 2024 – Governor Katie Hobbs announced a new plan to eliminate medical debt for up to 1 million people in Arizona, Monday morning. As part of “Affordable Arizona: Tackling Medical Debt for Working Families” program, the state will partner with RIP Medical Debt to buy back medical debt over the next two years.
The program will utilize up to $30 million in American Rescue Plan Act (ARPA) funds to buy back debt. Residents who earn less than 400% of the federal poverty level and those who debt equals 5% or more of their annual income are eligible for assistance. No application is needed to receive help and assistance will depend on which medical providers agree to participate. Furthermore, the debtor’s credit score will be automatically adjusted upon receiving assistance.
“Addressing medical debt in Arizona is crucial to accomplishing ACS CAN’s mission of ending cancer as we know it for everyone,” said Brian Hummell, ACS CAN Arizona Government Relations Director. “Our goal is to prevent people with cancer, survivors, caregivers, and their families from incurring debt simply because they need cancer treatment. Sometimes medical debt can’t be prevented. We recognize this and aim to minimize the negative impact debt has on a patient’s health and quality of life. This is why we proudly stand with Governor Hobbs and her plan to help alleviate this debt for many Arizonans.”
New findings led by American Cancer Society (ACS) researchers shows medical debt was associated with more days of poor physical and mental health, more years of life lost, and higher mortality rates for all-cause and leading causes of death at the county level in the United States. The study was published Monday in the Journal of the American Medical Association (JAMA) Network Open.
In February 2022, ACS CAN asked people with cancer and survivors about their experiences with medical debt through a ‘Survivor Views’ survey. The survey found that nearly three-quarters of cancer patients and survivors say they are worried about affording the cost of their current or future cancer care. roughly half of cancer survivors carried medical debt related to their treatment. Among those with medical debt, more than half said they had balances of more than $5,000.
Medical debt also disproportionately impacts women and people of color. The survey found women were more likely to report medical debt than men. African American people were more likely to incur such debt when compared to White people.
Roughly half of cancer survivors carried medical debt related to their treatment. Among those with medical debt, more than half said they had balances of more than $5,000. This is why ACS CAN supports the development of innovative and impactful ways to eliminate medical debt, just as Governor Hobbs’ plan does.