Updates About Health Insurance

On November 1, the Michigan Department of Insurance and Financial Services (DIFS) released a statement reminding Michiganders that the annual Health Insurance Marketplace open enrollment period began on November 1 and will end on January 15, 2023.

DIFS Director, Anita Fox, expressed that recent changes have increased access to health insurance. Michiganders are able to choose from 308 plans, 52 more options than last year. They encourage Michiganders to sign up for a plan during open enrollment to take advantage of newly extended subsidies to get low- or no- cost coverage.

The Inflation Reduction Act extended increased health insurance subsidies through the end of 2025. These expanded subsidies aim to help middle-income Michiganders afford comprehensive health insurance. Additionally, the U.S. Treasury Department recently took action to redefine what is considered “affordable,” to enable family members of employees to qualify for a subsidy rather than only the employee being covered.

Lastly, $4 million in Navigator grants have been awarded to three Michigan organizations to help expand access to qualified Navigators who provide free assistance to consumers who need help signing up for health insurance.

Michigan Attorney General Dana Nessel joined 23 attorneys general in sending a letter to the U.S. Department of Health and Human Services’ (HHS) regarding a new proposed rule that seeks to enforce Section 1557 of the Affordable Care Act (ACA), which prohibits discrimination based on race, color, ethnicity, age, disability and literacy.

Since its inception in 2016 under the Obama Administration, the rule enforcing Section 1557 has been subject to ongoing litigation. It was most recently rewritten, and effectively weakened, by President Trump in 2020. The proposed rule under the Biden Administration, revises the Trump-era interpretation, and aims to largely reinstate significant aspects of the original 2016 rule.

Among other things, the proposed rule would apply prohibitions against discrimination under Section 1557 to many health insurers and third-party administrators, as well as providers who receive payment through the Medicare Part B program. That includes discrimination against various minority groups, including communities of color, women, LGBTQ+ individuals, people with disabilities, people with pregnancy-related conditions, and people with limited English proficiency.

Michigan Attorney General Dana Nessel announced on Wednesday, June 22, that Michigan will receive approximately $14.45 million following a lawsuit by Mallinckrodt ARC, LLC, formerly known as Questcor Pharmaceuticals, Inc.

The settlement stems from allegations made that between January 2013 and June 2020, Mallinckrodt knowingly underpaid Medicaid rebates for its drug Acthar, violating the Federal False Claims Act and the Michigan Medicaid False Claims Act.

Mallinckrodt will pay Michigan, 49 other states, Washington, D.C., Puerto Rico, and the federal government a total of $233.7 million, plus interest, over the next seven years. Michigan is expected to receive the first payment of $180,000 by mid-July.