Beshear signs executive order to relieve Kentuckians from medical debt

FRANKFORT, Ky. – Gov. Andy Beshear signed an executive order Tuesday to relieve 130,000 Kentuckians of $250 million in medical debt.

As a part of this initiative, he is directing $2.5 million to the nonprofit Undue Medical Debt. The funds are coming from the state’s budget.

Beshear stated in the press conference that the first batch of people consists of 46,000 people who have qualified for the medical debt assistance. 

The assistance caps at $600,000 per person and no application is required. Beshear said medical debt also affects other factors that limit quality of life. 

“That’s especially true when medical debt results in bad credit, which can prevent families from securing the American Dream of owning a home. Unpredictable challenges shouldn’t be a barrier for a better future, and today we’re taking steps to help make sure that isn’t the case,” Beshear said.

The nonprofit Undue Medical Debt has helped erase $49 billion in debt nationwide. Organizers said a person should not have to choose if food is on the table or if their life needs saving.

“At Undue Medical Debt we believe that no one should have to choose between getting the care they need and paying the bills waiting at home.  Medical debt is a debt of necessity not choice. No one plans to get sick or injured, and no one should face financial hardship simply because they needed a doctor,” said Courtney Story, the vice president of Undue Medical Debt.

It was announced that the letters of eligibility will be mailed out next week.

If you or anyone you know receives a letter, New’s 40 would love to talk to you. We will keep following this story for you.