Medical Bankruptcy Fairness Act of 2026 provides bankruptcy protections for debtors with significant medical debt.
The Medical Bankruptcy Fairness Act of 2026 amends the U.S. Bankruptcy Code to offer special protections for individuals with substantial medical debt. It defines "medical debt" and "medically distressed debtor," allowing such debtors to exempt up to $250,000 in property value. The Act also exempts these debtors from certain administrative requirements and excludes their bankruptcy information from consumer reports. It applies to cases filed after the Act's enactment.
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- Impact
- Legal Framework
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