Kentucky has now erased $153 million in medical debt for 67,000 people, and more letters go out in November

FRANKFORT, Ky. (Oct. 30) — About 22,000 more Kentuckians are about to find out their old medical bills are gone.

Gov. Andy Beshear announced Thursday that the second round of the Team Kentucky Medical Debt Relief Program has canceled nearly $50.6 million in medical debt. Combined with the first round in September, which erased more than $100 million for about 46,000 people, the program has now wiped out $153 million for roughly 67,000 residents, WKYT reported.

Beshear created the program by executive order in September. The state put $2.5 million toward Undue Medical Debt, a national nonprofit that buys bundles of unpaid medical bills from hospitals and collection agencies at a steep discount and then forgives them. In Kentucky, that works out to about $100 in debt erased for every $1 spent, according to the governor's office. The goal is $250 million in relief for about 130,000 people.

Nobody can apply. To qualify, a person must live in Kentucky and either owe medical debt equal to at least 5% of their yearly income or earn no more than 400% of the federal poverty level, which is roughly $100,000 for a family of three, WNKY reported.

People whose debt was canceled get an official letter from Team Kentucky and Undue Medical Debt listing which bills and creditors were cleared. Letters for the second round should start going out around the week of Nov. 9. Officials say recipients don't need to do anything but should keep the letter as proof.

In the announcement, Beshear said medical debt "is not a choice, yet it can burden a family for years," WNKY reported.