BOSTON — In a sweeping move to ease the burden of healthcare costs, $30 million in medical debt owed by residents of Eastern Massachusetts has been abolished, a result of a major philanthropic partnership between the nonprofit Undue Medical Debt and the Atrius Health Equity Foundation.
The debt relief, announced by Undue Medical Debt President and CEO Allison Sesso, will benefit approximately 17,000 people whose income is at or below 400% of the federal poverty level—a threshold that includes many working- and middle-class families. This marks the largest single debt abolishment by Undue in the Commonwealth to date.
“Medical debt abolishment is one piece of the puzzle,” said Sesso. “While it’s by no means a silver bullet, it provides timely relief to counteract the financial and emotional weight of these debts of necessity.”
The $30 million in debt comes from a mix of sources including physicians, hospitals, and secondary markets such as collection agencies. On average, individuals will see around $1,800 in debt wiped away. Notifications will begin arriving by mail later this month, but no action is required from recipients—the relief is automatic.
The initiative aligns with Undue Medical Debt’s mission to assist individuals who either earn no more than four times the federal poverty level or whose medical debts exceed 5% of their annual income.
“Medical debt can harm individuals’ and families’ financial stability and deter people from seeking the care they need,” said Ann Hwang, president of the Atrius Health Equity Foundation. “The Foundation is glad to support this effort as part of our work to improve health and well-being across Eastern Massachusetts.”
The announcement is the first in a series of planned efforts under the Foundation’s broader strategy to tackle medical debt through community outreach, policy advocacy, and large-scale financial interventions.
Amy Rosenthal, executive director of Health Care For All, emphasized the broader impact: “This significant debt abolishment will make a meaningful impact on the many Massachusetts residents struggling with medical debt and make needed strides towards improving health inequities and economic instability in the Commonwealth.”
A Proven Model of Debt Relief
Undue Medical Debt, previously known as RIP Medical Debt, was founded in 2014 and has become a national leader in large-scale medical debt relief. The organization has abolished over $15 billion in medical debt for more than 9.8 million people across the U.S. It purchases debt portfolios at a fraction of face value—one dollar donated typically erases $100 in medical debt—enabling massive impact through strategic philanthropy.
More information about eligibility and the organization’s model can be found at unduemedicaldebt.org.
The Atrius Health Equity Foundation, established in 2022 following the conversion of Atrius Health into a for-profit corporation, is independently operated and focused on advancing health equity throughout the region. Learn more at atriusfoundation.org.
As the initiative expands, more debt relief announcements are expected in the coming months, potentially bringing financial relief to thousands more across Eastern Massachusetts.
