City Partners with RIP Medical Debt to Forgive Patient Medical Debt

The City of Toledo has abolished $72,289,080.53 worth of medical debt for residents thanks to a partnership with RIP Medical Debt. Toledo was the first city in the country to implement a medical debt relief program and the second municipality, following Cook County, Illinois. Using a portion of the $800,000 from the American Rescue Plan Act funding committed to medical debt relief, the city purchased debt portfolios from healthcare providers Bon Secours Mercy Health and ProMedica Health, erasing the medical debt of nearly 35,000 beneficiaries to date.

Bon Secours Mercy Health

Beneficiaries: 2,164

Debt Value: $2,840,054.53

ProMedica Health

Beneficiaries: 33,275

Debt Value: $69,449,026.00

State Representative Michele Grim, who spearheaded the initiative during her time on Toledo City Council, said, "Medical debt can happen to anyone and is a crushing burden for far too many families. Toledo’s groundbreaking initiative with Lucas County has given communities a new intervention model to address the medical debt crisis, deliver broad-based relief, and change lives. So far, our initiative has helped to deliver more than $230 million in debt relief to over 112,000 area patients in the ProMedica and Mercy Health systems. But we’ve also inspired communities across Ohio and across the nation, helping to relieve billions of dollars in medical debt for millions of struggling Americans.”

Mayor Wade Kapszukiewicz emphasized, "We are committed to ensuring that our residents have access to the resources they need for a healthy and prosperous life. This initiative alleviates financial stress and reinforces our city's position as a leader in innovative solutions to support our community."

The City of Toledo has allocated $800,000 to the program which began in April 2022. The Lucas County Commissioners also allocated $800,000 to abolish more medical debt across the county.

Beneficiaries will receive notifications in the coming weeks informing them of the abolition of their medical debt. A second round of debt relief may be coming later this year.

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