Michigan Passes Bills to Protect 700K from Medical Debt

Bipartisan legislation aims to limit interest rates, ban aggressive collection tactics, and expand financial assistance programs.

Mar. 11, 2026 at 11:41pm

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The Michigan Senate has passed a suite of bipartisan bills known as the Medical Debt Protection Act, which seeks to provide relief for the estimated 700,000 Michiganders struggling with medical debt. The legislation, championed by Senators Sarah Anthony (D-Lansing) and Jonathan Lindsey (R-Coldwater), aims to standardize hospital financial assistance programs, cap interest rates on medical debt, and prohibit aggressive collection practices like liens on homes and wage garnishment.

Why it matters

Medical debt remains the leading cause of bankruptcy in the U.S., with nearly one-third of working-age adults affected. The new bills aim to prevent medical debt from hindering Michiganders' financial stability and access to essential services.

The details

Key provisions of the Medical Debt Protection Act include: standardizing eligibility for hospital financial assistance programs, capping interest rates at 3% annually after 90 days, prohibiting liens on homes and wage garnishment for those who qualify for assistance, and preventing the deferral or denial of emergency care due to outstanding debt. The bipartisan nature of the legislation signals growing recognition of the urgent need to address the medical debt crisis.

  • The Michigan Senate passed the bills on March 11, 2026.
  • The bills, Senate Bills 449, 451, 701, and 702, now move to the Michigan House for further consideration.

The players

Senator Sarah Anthony

A Democratic senator from Lansing who co-sponsored the Medical Debt Protection Act.

Senator Jonathan Lindsey

A Republican senator from Coldwater who co-sponsored the Medical Debt Protection Act.

Undue Medical Debt

A nonprofit organization that recently forgave $144 million in medical debt in Michigan.

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What they’re saying

“No one should be punished for getting the care they need, and deserve.”

— Senator Sarah Anthony

“The bills would ensure transparency in charity care and strengthen the state's laws on medical debt.”

— Senator Jonathan Lindsey

What’s next

The fate of the bills in the Michigan House remains uncertain, but the momentum gained in the Senate is a positive sign for advocates and patients alike.

The takeaway

If passed into law, the Medical Debt Protection Act could provide critical relief for hundreds of thousands of Michiganders by limiting predatory debt collection practices and expanding access to financial assistance, preventing medical debt from spiraling into a cycle of financial hardship.