Connecticut to wipe out $1B in medical debt

(The Center Square) — Connecticut Gov. Ned Lamont plans to cancel up to $1 billion in medical debt for hundreds of thousands of residents, making it the first state to take the step.

Lamont made the announcement Friday during an appearance on ABC News, saying the plans call for leveraging $6.5 million in American Rescue Plan Act funds the state has received to wipe out the medical debt held by about 250,000 residents who meet the basic income qualifications. 

“This is not something they did where they were spending too much money,” Lamont told Good Morning America. “This is because they got hit with a medical emergency, and they should not have to suffer twice: first for the illness, then with the debt.” 

Under the plan, households will receive letters notifying them they are eligible for the relief. To qualify, their medical debt must equal 5% or more of their annual
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