Orange County Eliminates Medical Debt

Orange County eliminated medical debt through relief payments for accounts acquired from both local hospital systems and third-party debt collection agencies.

Through its partnership with Undue Medical Debt, medical debt totaling more than $472.5 million has been eliminated for over 310,000 Orange County residents. This debt relief includes accounts acquired from both local hospital systems and third-party debt collection agencies.

“This program is the latest countywide effort to improve the quality of life for our residents,” said Orange County Mayor Jerry Demings. “This collaboration with Undue Medical Debt has allowed our Board to efficiently maximize the impact of public funds, helping as many individuals as possible to become financially stable.”

Qualifying debt from an Orange County, Florida resident meets one of two criteria:

• Resides in a household with income at or below 400% of the Federal Poverty Guidelines
• Has medical debt that equals or exceeds 5% of their total household income

Once acquired, the debt is fully paid and requires no action from the affected Central Florida residents. Recipients will be notified by mail with an official letter from Undue Medical Debt confirming the relief.

“For over a decade, we have been at the forefront of relieving the burden of medical debt for everyday families, many of whom are uninsured or underinsured,” said Allison Sesso, president and CEO of Undue Medical Debt. “We look forward to continuing our mission in partnership with Orange County.”

On August 13, 2024, the Orange County Board of County Commissioners approved a $4.5 million contract with Undue Medical Debt, a nationally recognized nonprofit. This investment, funded through the County’s allocation of the American Rescue Plan Act of 2021, allows Undue Medical Debt to analyze and purchase qualifying medical debt at a fraction of its face value. Approximately $3 million has been used from the program’s budget.

It is important to know, the program does not accept applications. Instead, eligible debt is identified through partnerships with hospitals, healthcare providers and collectors, then purchased directly by Undue Medical Debt.

To learn more, check out the Orange County partnership with Undue Medical Debt.