"Connecticut Becomes First State to Fully Cancel Medical Debt for Eligible Residents"

Connecticut plans to cancel around $650 million in medical debt for an estimated 250,000 residents, making it the first state to provide this type of relief. The effort aims to alleviate the financial burden on residents who have medical debt equal to 5% or more of their annual income or fall within 400% of the federal poverty line. The state will leverage $6.5 million in Covid-19 funds from the 2021 American Rescue Plan Act to eliminate the debt, and it joins other governments in working with nonprofits to address the issue of medical debt, which has become a significant financial concern for many Americans.