Last Year, Governor Cooper Pioneered a First-in-the-Nation Solution Incentivizing North Carolina Hospitals To Reduce Medical Debt For Patients
RALEIGH – As health care continues to come under attack in Washington, Governor Josh Stein today announced that Governor Cooper’s first-in-the-nation program to relieve the crushing burden of medical debt has successfully helped clear more than $6.5 billion in medical debt for more than 2.5 million North Carolinians as well as preventing future medical debt for patients. The program was initially expected to erase $4 billion in debt.
“No one should be in debt because they got sick and couldn’t afford treatment,” said Roy Cooper. “That’s why we created this innovative tool to help wipe away billions in medical debt and prevent future debt. That was just the start – now, millions more North Carolinians struggling with mounting medical bills are getting a clean slate.”
Read more:
N&O: North Carolina wipes out $6.5B in medical debt for 2.5M residents. Here’s how.
Luciana Perez Uribe Guinassi, October 13, 2025
- “So many credit reports wiped clean. This is life changing news for so many families. Medical debt is a tremendous burden that keeps families from financial security and emotional and physical wellbeing,” Stein said during a press conference at the North Carolina Executive Mansion.
- North Carolina’s medical debt initiative was first announced last year in July by former Gov. Roy Cooper and former health secretary Kody Kinsley, who said it could wipe away about $4 billion in hospital debt for as many as 2 million low- and middle-income residents, The News & Observer reported.
WWAY: More than $6.5 billion in medical debt erased for 2.5 million North Carolinians
October 13, 2025
- Governor Josh Stein and North Carolina Department of Health and Human Services Secretary Dev Sangvai announced that more than $6.5 billion in medical debt has been erased for more than 2.5 million residents through the state’s Medical Debt Relief Program.
- The Medical Debt Relief Program was first developed under former Governor Roy Cooper and NCDHHS Secretary Kody Kinsley. It is the first of its kind in the nation to use Medicaid programs to make large-scale debt relief possible.
- Eligible North Carolinians are being notified directly by mail from their hospitals or Undue Medical Debt when their balances are cleared. At least 255,000 letters are being sent this week, with more to follow in the coming months.
Henderson Dispatch: State eliminates more than $6.5 billion in state medical debt
October 13, 2025
- “Medical debt is a tremendous weight keeping so many families from financial security, and, unlike most other forms of debt, it’s not a choice,” said Stein.
- “Today’s announcement will free people from financial stress so they can focus on getting healthy. I thank Governor Roy Cooper, DHHS Secretary Kody Kinsley, and the hospitals that partnered with the State of North Carolina to make this life-changing news possible. I urge the General Assembly to keep this momentum going by coming back to the table and fully funding Medicaid.”
WNCN: $6.5 million in medical debt cleared
- “The debt was erased under a Governor Roy Cooper era relief program where hospitals work with the state to relieve that debt. The hospitals are in turn rewarded with federal money.”
WRAL:Medical debt relief announcement
- “The effort began last year under former Governor Roy Cooper. Stein said the program involves a partnership with all 99 hospitals in the state and that more debt could still be erased in the future.”
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