Murphy Administration Announces $59 Million In Medical Debt Relief

Murphy Administration Announces $59 Million In Medical Debt Relief - Healthcare Law Update - December 2025 - Brach Eichler
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12/1/2025

On October 29, 2025, Governor Phil Murphy announced the fifth round of New Jersey’s medical debt relief initiative in partnership with the nonprofit Undue Medical Debt. This round will eliminate $59 million in medical debt for more than 48,000 New Jersey residents. In total for all rounds, $1.3 billion in medical debt was forgiven for 780,000 people. Undue Medical Debt purchased the debt by leveraging approximately $500,000 in American Rescue Plan funds from the State’s investment in medical debt abolishment. Those that qualify for medical debt relief must have annual income which is below 400% of the federal poverty level or must have medical debts that equal 5% or more of their annual income. Recipients are notified automatically through an Undue Medical Debt branded letter, with no application required.

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For more information, contact:
Lani M. Dornfeld, CHPC | 973.403.3136 | ldornfeld@bracheichler.com
Edward J. Yun | 973.364.5229 | eyun@bracheichler.com
Cynthia J. Liba | 973.403.3106 | cliba@bracheichler.com

*This is intended to provide general information, not legal advice. Please contact the authors if you need specific advice.

Related Practices:   Healthcare Law

Related Industry:   Healthcare