Illinois Erases Over $1 Billion in Medical Debt for Residents

Governor Pritzker's initiative provides relief to over 500,000 Illinoisans across the state

Published on Feb. 21, 2026

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Governor JB Pritzker announced that the State of Illinois has erased over $1.1 billion in medical debt for more than half a million Illinoisans through the Illinois Medical Debt Relief Program. The program, operated in partnership with the nonprofit Undue Medical Debt, has provided debt relief to residents in all 102 counties of the state, with some individuals receiving tens or hundreds of thousands in relief.

Why it matters

With rising healthcare costs and the impact of the Trump administration's policies on healthcare accessibility, the Illinois Medical Debt Relief Program is providing critical financial relief to working families who have faced medical debt burdens. The program reflects the state's commitment to making healthcare more affordable and accessible for all Illinoisans.

The details

The Illinois Medical Debt Relief Program purchases bundled medical debts, often for pennies on the dollar, from healthcare providers and secondary debt markets. Eligible Illinois residents with household incomes at or below 400% of the federal poverty level, or with medical debts equal to 5% or more of their annual household income, automatically receive debt relief without needing to apply. The program has already benefited patients treated at healthcare providers such as Advent Midwest Health, Ann & Robert H. Lurie Children's Hospital of Chicago, Loyola Medicine, University of Chicago Medicine, and the Vituity physician group.

  • The Illinois Medical Debt Relief Program launched in late 2024.
  • In the first 15 months, the program erased over $72 million in medical debt for 52,745 Illinois residents.
  • As of February 2026, the program has erased over $1.1 billion in medical debt for more than 500,000 Illinoisans.

The players

Governor JB Pritzker

The Governor of Illinois who announced the Illinois Medical Debt Relief Program as part of his broader Affordability Agenda.

Lieutenant Governor Juliana Stratton

The Lieutenant Governor of Illinois who stated that healthcare is a human right and that affordability is central to that promise.

Elizabeth M. Whitehorn

The Director of the Illinois Department of Healthcare and Family Services, which administers the Medical Debt Relief Program.

Allison Sesso

The President and CEO of Undue Medical Debt, the nonprofit organization that partners with the state of Illinois on the Medical Debt Relief Program.

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What they’re saying

“No one should be forced to choose between life-saving care and feeding their families, which is why we launched the Illinois Medical Debt relief program.”

— Governor JB Pritzker

“In Illinois, we believe healthcare is a human right — and affordability is central to that promise. No one should ever delay care because of cost or face financial ruin simply because they got sick. The Illinois Medical Debt Relief Program is about lifting that burden, strengthening families, and ensuring every Illinoisan can seek the care they need.”

— Lieutenant Governor Juliana Stratton

“Medical debt can create a cascade of issues that go beyond the immediate financial challenges experienced by those who are burdened by it. This program has improved the lives of families across the state, and we look forward to continuing to expand its reach this year.”

— Elizabeth M. Whitehorn, Director, Illinois Department of Healthcare and Family Services

“I'm very proud of our work with the state of Illinois, especially as we reach the milestone of $1 billion of burdensome medical debt erased for families doing their best to make ends meet. No one chooses to get sick or be born with a chronic condition and accessing healthcare should never lead to financial ruin. I'm hopeful this debt relief will allow families to reengage with the healthcare system while we advocate for upstream policy solutions to the medical debt crisis.”

— Allison Sesso, President and CEO, Undue Medical Debt

What’s next

The state of Illinois will continue to use the remaining $5 million in program funds to acquire and relieve additional outstanding, unpayable medical debt for eligible residents.

The takeaway

The Illinois Medical Debt Relief Program demonstrates the state's commitment to making healthcare more affordable and accessible for all residents, providing critical financial relief to hundreds of thousands of families struggling with burdensome medical debt. This initiative serves as a model for how states can take proactive steps to address the medical debt crisis and support the economic well-being of their communities.