Snap Inc. CEO Evan Spiegel and his wife, supermodel and entrepreneur Miranda Kerr, have helped eliminate $550 million in medical debt for more than 261,000 Californians through a major philanthropic donation aimed at easing the financial burden of healthcare costs.
The contribution, made to the nonprofit Undue Medical Debt, will provide life-changing relief to thousands of families struggling with unpaid medical bills across the state.
Donation Provides Relief for Hundreds of Thousands
While the couple did not disclose the exact amount of their donation, Undue Medical Debt explained that contributions can have an outsized impact because the organization purchases large portfolios of medical debt from hospitals, physician groups, and collection agencies at deeply discounted prices.
On average, every $10 donated allows the nonprofit to erase approximately $1,000 in medical debt, making even relatively modest contributions highly effective.
The latest gift will wipe out roughly $550 million in outstanding medical bills, benefiting more than 261,000 California residents.
Helping Families Focus on Healing
In a video announcing the initiative, Kerr said the couple wanted to ease one of the greatest sources of stress facing families during medical emergencies.
“When someone you love is sick, all you want to do is focus on helping them get better.”
She added that relieving medical debt allows families to concentrate on caring for loved ones rather than worrying about overwhelming financial obligations.
Kerr, who founded the skincare company KORA Organics, said the effort reflects the couple’s desire to support both healing and financial stability.
Medical Debt Remains a Growing Crisis
The donation comes as millions of Americans continue to struggle with rising healthcare costs and the broader cost of living.
According to Undue Medical Debt, approximately one in four adults in the United States currently carries medical debt.
Organization President and CEO Allison Sesso described the issue as one of the country’s most pressing financial challenges.
“Medical debt is a growing crisis that undermines healthcare access, economic well-being, and mental health.”
She praised Spiegel and Kerr for supporting the organization’s belief that no one should face financial ruin because of a serious illness.
“No one should go bankrupt because of a cancer diagnosis, and no family should have to choose between insulin and groceries.”
Who Will Benefit?
Eligible Californians will begin receiving notification letters from Undue Medical Debt in mid-July, informing them that their outstanding medical balances have been permanently eliminated.
The nonprofit does not accept individual applications for debt forgiveness. Instead, it purchases bundled debt portfolios affecting thousands of people at once.
Recipients generally qualify if they:
- Earn 400% or less of the federal poverty level, or
- Owe medical debt exceeding 5% of their annual household income
San Diego County Receives the Largest Share
Among California communities, San Diego County received the greatest amount of relief through the donation.
The initiative erased approximately $99 million in medical debt for 40,369 residents.
In Los Angeles County, roughly 17,466 people benefited from about $26.7 million in canceled medical debt.
Thousands of additional residents across California will also see their balances eliminated through the program.
A Continued Commitment to Philanthropy
This is not the first time Spiegel and Kerr have used their wealth to reduce financial burdens for others.
In 2022, the couple paid off the student loan debt of the graduating class at Otis College of Art and Design in Los Angeles.
Following the devastating Los Angeles County wildfires in January 2025, Spiegel also joined other business leaders in launching the Department of Angels, an initiative focused on long-term recovery efforts.
Together with Snap and Snapchat co-founder Bobby Murphy, Spiegel committed $10 million to help establish the organization.
After losing his own childhood home in the Pacific Palisades wildfire, Spiegel also donated $5 million in emergency assistance for families affected by the disaster.
Giving Back to California
Reflecting on the latest donation, Spiegel said California has played a defining role in his life and success.
“California has given so much to my family and me, and I care deeply about the well-being of our communities.”
He noted that unexpected medical expenses can place enormous financial pressure on households already struggling with rising costs for housing, food, and everyday necessities.
“At a time when many families are facing rising costs across nearly every aspect of daily life, an unexpected medical bill can create financial stress that lasts for years.”
More Than $40 Billion in Debt Eliminated Nationwide
Since its founding, Undue Medical Debt has abolished more than $40 billion in medical debt for millions of Americans across all 50 states.
The organization’s unique model continues to demonstrate how relatively small charitable donations can generate massive financial relief, offering struggling families a fresh start and allowing them to focus on recovery rather than overwhelming debt.