Los Angeles County launches ambitious plan to tackle medical debt. Hospitals groan.

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Los Angeles County has launched one of the most ambitious efforts in the nation to tackle medical debt, targeting hospitals for their role in feeding a $2.9 billion problem.

May 23 2024KFF Health News

Mona Shah of Community Catalyst, a national health equity and policy organization, called the county's efforts bold — tackling the root causes of medical debt, in addition to providing immediate debt relief, with input and participation from health plans, hospitals, community organizations, and government partners. Shah said the county's population of about 10 million adds to the significance of its initiative.

Adena Tessler, LA County regional vice president for the hospital association, told KFF Health News the industry provides ample financial assistance and that the county is putting too much emphasis on hospitals' role in the debt crisis, when other sectors of the health care system, such as insurers, should share the blame.

The county analysis shows that medical debt disproportionately affects people of color, low-income people, and families with children. Having medical debt more than doubled the likelihood that patients would delay or forgo health care or prescriptions or be at risk of losing housing or going hungry.

 

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