Updates About Health Insurance

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.

On Wednesday, May 25, Governor Gretchen Whitmer signed Executive Directive 2022-5, which instructs State of Michigan departments and agencies to identify any avenues to increase, what she refers to as “protections for reproductive health care.”

Under this directive, departments that directly communicate with the public on reproductive health issues must provide information about the cost and availability of care while increasing awareness about contraception. Departments are to not cooperate or assist authorities in investigations against anyone obtaining, providing, or assisting someone accessing reproductive healthcare where it is legal. Departments are also encouraged to increase options for mental, physical, and reproductive health, as well as safeguard individuals’ privacy while assuring the safety of reproductive healthcare providers.

Previously, Attorney General Dana Nessel announced that should the United States Supreme Court overturn Roe Vs. Wade, she would not use her position to enforce Michigan’s 1931 statute that criminalizes abortion in the state.

On Monday, May 16, Governor Gretchen Whitmer announced that over one million Michigan residents have enrolled in the state’s Healthy Michigan Plan (HMP). The HMP is the state’s Medicaid expansion plan authorized under the Affordable Care Act (ACA) and is available to Michiganders ages 19-64 who have an income at or below 133 percent of the federal poverty line.

According to data released by the University of Michigan, the Healthy Michigan Plan has doubled primary care usage, reduced enrollees’ reliance on the emergency room by 58 percent, and cut uncompensated care by nearly 50 percent.