Medical debt collectors in Maine are barred from placing a lien on a person’s home or garnishing their wages under a new law signed this week by Gov. Janet Mills.
The law, sponsored by state Sen. Donna Bailey, D-York, builds on earlier legislation that prohibited medical debt from appearing on consumer credit reports.
“Medical debt continues to hurt hardworking Maine families who, through no fault of their own, take on debt for seeking medical care — often for a life-changing diagnosis or for a life-threatening emergency,” said Bailey, a cancer survivor who has championed other legislative efforts to safeguard Mainers from medical debt’s harmful impacts.
“With the signing of this bill, we are taking another critical step to protect Mainers from the harmful impact of this debt. It is a part of our plan to help folks breathe a little easier, so they can focus on their healing and recovery,” she said.
According to Maine Consumers for Affordable Health Care, nearly half of the state’s households incurred medical debt in the last two years and one out of three reported that medical debt hampered their ability to afford basic necessities such as food or heat.
Mills, a Democrat, is running this year for the U.S. Senate Seat occupied by longtime incumbent U.S. Sen. Susan Collins, R-Maine.