Michigan Insurance Code modernization package approved

June 10, 2016

LANSING, Mich. A series of health insurance reforms aimed at modernizing the Michigan Insurance Code while protecting consumers has been approved by the Michigan Legislature and is heading to Gov. Rick Snyder.

The package of legislation -- House Bill 4935, sponsored by Rep. Tom Leonard, R-Dewitt, House Bill 4933 sponsored by Rep. Tom Barrett, R-Potterville and House Bill 4934 sponsored by Rep. Robert Kosowski, D-Westland -- was developed in coordination with various business and consumer interests and the Department of Insurance and Financial Services.  The package is aimed at allowing health plans to provide innovative products, removing unnecessary and outdated health insurance regulations, and providing consumer reforms by extending deadlines for appeals of insurer decisions.

The legislation does not change any health care coverage mandates, or affect the property and casualty or life insurance industries.

“These reforms were developed through extensive discussions with lawmakers, insurers, consumer groups and state regulators,” said Rick Murdock. “It will allow insurers to better meet the needs of consumers, and expands important consumer protections. We thank everyone who has contributed to this process.”

This package does not make any substantive changes for auto insurers, life insurers, disability insurers, or alter any health care coverage mandates.

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The Michigan Association of Health Plans (MAHP) is an industry voice for 14 health care plans, covering over 2.5 million Michigan residents, and 50 businesses affiliated with the health care industry. MAHP facilitates communication among members, government, and the industry regarding health care issues of common concern. The mission of the Michigan Association of Health Plans is to provide leadership for the promotion and advocacy of high quality, affordable, accessible health care for the citizens of Michigan.