Core Insights - The article highlights the issue of wage garnishment in Colorado due to unpaid medical bills, particularly affecting Medicaid recipients [2][4][5] Group 1: Medical Debt and Wage Garnishment - A significant portion of wage garnishments in Colorado, approximately 30%, is attributed to medical debt, with an estimated 14,000 cases annually [4] - Medical bills often amount to less than $2,400 but can increase by around 25% as they progress through the legal system [5] - Many of these debts are incorrectly pursued, as some should have been covered by Medicaid, as confirmed in the case of a specific individual [5] Group 2: State Regulations and Practices - Colorado is among 45 states that permit wage garnishment for unpaid medical debt, with only a few states outright banning the practice [6] - The practice of wage garnishment can negatively impact consumers, as it may also lead to medical bills appearing on credit reports, affecting credit scores [7] Group 3: Errors in Medical Billing - Medical billing is prone to errors, with Colorado's Health Care Policy & Financing Department issuing nearly 11,000 warning letters to providers for erroneous payment pursuits from Medicaid patients [8]