Healthcare Organization Pays Off $1.4 Million In Unpaid Medical Debts

A group of doctors in and around Kansas City, Missouri, have donated $11,000, which was used to purchase and forgive nearly $1.5 million in medical debts for 784 individuals in Kansas and Missouri, according to a published report.

The purchase and forgiveness was facilitated by RIP Medical Debt.

Nineteen doctors and nurses pooled their money and donated it to RIP Medical Debt, which then purchased a portfolio of unpaid debts. The organization then sends a letter to each individual, informing him or her that at least one of their unpaid medical debts has been forgiven.

A growing number of organizations have partnered with RIP Medical Debt to help individuals in different areas across the country. Those organizations have included television stations in Utah, St. Louis, and Seattle, as well as a church in Texas.

“The amount of medical debt that exists within the metro is astounding,” said Allison Edwards, who owns Kansas City Direct Primary Care in Kansas City, Kan. “So it’s a small thing we did, relatively speaking. It sounds big, but there’s millions of dollars in debt, hundreds of millions, within the Kansas City metro area alone that’s just sitting there asking to be paid, and it’s not going to (be paid).”

Many of the patients serviced by the organizations that participated in the donation are on high-deductible healthcare plans, according to the report.

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