Health Insurance Exchange Reform Passed

Jun 28, 2024

by Liz Gullett

As MLC’s Communications and Social Media Manager, Liz Gullett keeps clients informed and up-to-date on the goings on in Lansing and the Capitol.

Legislation that would transition Michigan from the federally managed health insurance marketplace to a State-Based Exchange (SBE) was passed by the Senate this week.

Key Points:

    • Senate Bills 633 – 638 were sponsored by Senators Kevin Hertel (D-St. Clair Shores), Darrin Camilleri (D-Trenton), and Veronica Klinefelt (D-Eastpointe).
    • According to the sponsors, the change would expand access to affordable healthcare and improve health outcomes for residents.
    • Under the proposal, Michigan would establish an SBE, which would be available for individuals and small businesses to purchase plans beginning January 1, 2026.
    • The federal Affordable Care Act created a health insurance marketplace, which took effect in 2010. The Act allows states to determine whether to use the federal platform or manage their own.
    • During 2024 open enrollment, 418,000 Michigan residents purchased coverage through the federal marketplace, a 30% increase from the prior year.
    • Currently, eighteen states run their own SBE, six of which were established in the last four years.

Next Steps:

    • The bill package was referred to the House Insurance and Financial Services Committee for consideration.

Michigan Legislative Consultants is a bipartisan lobbying firm based in Lansing, Michigan. Our team of lobbyists and procurement specialists provide a wide range of services for some of the most respected companies in America. For more on MLC, visit www.mlcmi.com or connect with us on LinkedIn and Twitter.

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