Virginia Hospitals Sued Over 1 Million Patients for Medical Debt

Nonprofit hospitals filed most of the lawsuits, targeting lower-income communities

Mar. 27, 2026 at 9:07am

Got story updates? Submit your updates here. ›

A report by researchers from Stanford University, George Washington University, and Patient Rights Advocate found that Virginia hospitals, doctors, and medical providers brought 1.15 million lawsuits to collect $1.4 billion in medical debt from consumers between 2010 and 2024. The largest hospital system, Sentara Health, initiated over 96,000 of these lawsuits. The report highlights how even insured patients can face crippling medical debt due to high deductibles, copays, and lack of price transparency.

Why it matters

The aggressive medical debt collection tactics by Virginia hospitals have pushed many families into financial ruin, raising concerns about the affordability crisis in healthcare and the role nonprofit hospitals play in suing their own communities. The report shows how the medical debt problem extends beyond the uninsured, with insured patients also vulnerable to unexpected bills.

The details

The report found that Virginia hospitals, doctors, and medical providers brought 1.15 million lawsuits to collect $1.4 billion in medical debt from consumers from 2010 to 2024. Sentara Health, the largest hospital system in Virginia, initiated over 96,000 of these lawsuits. Other major hospital systems like VCU Health, Inova Health, UVA Health, and Mary Washington Healthcare also filed thousands of suits. Many of the lawsuits targeted lower-income communities with higher poverty rates. The report also found that workers in retail, manufacturing, grocery, and food service were more likely to have their wages garnished to pay medical debt.

  • The lawsuits were filed between 2010 and 2024.
  • In November 2025, Waynesboro resident Kanise Marshall was sued by Martha Jefferson Hospital, owned by Sentara Health, for $2,366 in unpaid bills she said she didn't know existed.

The players

Sentara Health

The largest health system in Virginia with 11 hospitals and one hospital in North Carolina. Sentara initiated over 96,000 lawsuits to collect medical debt from 2010 to 2024.

Kanise Marshall

A Waynesboro, Virginia resident who was sued by Martha Jefferson Hospital, owned by Sentara Health, for $2,366 in unpaid bills she said she didn't know existed.

Latricia Giles

A Charlottesville resident who was sued by Sentara's Martha Jefferson Hospital for an unpaid balance of more than $10,200 after her insurance plan discounted a nearly $68,000 bill.

Patient Rights Advocate

A nonprofit that pushes for price transparency in healthcare and assisted Giles in contesting her medical bills.

Virginia Hospital & Healthcare Association

Defended hospitals' record on providing charity care and limiting aggressive debt collection.

Got photos? Submit your photos here. ›

What they’re saying

“It's an unfortunate and unfair trend against the American worker who tries to do everything right − to pay to get access to their care.”

— Cynthia Fisher, Founder of Patient Rights Advocate

“Our goal is to support patients during difficult times – not add financial strain. This approach reflects our mission to serve communities with compassion and integrity in every aspect of care.”

— Mike Kafka, Sentara spokesman

“They took their sweet time to send the bill, but they don't want to give me the courtesy of more time to get it paid or providing an explanation.”

— Kanise Marshall

“Call it what it is – predatory pricing on everyday, average American citizens.”

— Latricia Giles

What’s next

The judge in Kanise Marshall's case will decide on June 17 whether to allow her out on bail.

The takeaway

This report highlights the growing affordability crisis in healthcare, where even insured patients are being pushed into financial ruin by aggressive medical debt collection tactics used by nonprofit hospitals. It raises questions about the role of these hospitals in serving their communities and the need for greater price transparency and patient protections.