Saturday, September 21, 2024

NC hospital company forgives debts of 11,500 people

Less than a week after NBC News detailed how the hospital system Atrium Health of North Carolina aggressively pursued former patients' medical debts, placing liens on their homes to collect on hospital bills, the nonprofit company announced it would cancel those obligations and forgive the unpaid debts associated with them.

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... Some 11,500 liens on people's homes in North Carolina and five other states will be released, Atrium's parent company, Advocate Health, said with some dating back 20 years or more.

Advocate Health said it is changing its policy now as "the next logical step" following a 2022 decision to stop filing lawsuits and property liens to collect on patients' medical debts. The company declined NBC News' request for an interview about the shift.

Reporting on the nationwide problem of medical debt last week, NBC News focused on Terry Belk, 68, a Charlotte resident whose wife died of breast cancer in 2012 and who was himself later diagnosed with prostate cancer. Both his wife's treatment and Belk's own racked up tens of thousands of dollars in bills their insurance did not cover. When Belk could not afford to pay them, Atrium Health pursued him in court, the company confirmed. In 2005, Belk signed what's called a deed of trust with Atrium, granting it the right to receive $23,000 when he sold his family home. ...



#1 | Posted by LampLighter at 2024-09-21 06:21 PM

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