Briefs & Reports

Non-Medicaid Health Coverage Expansion

Michigan Senator Bruce Caswell (R-Hillsdale) has introduced legislation that would provide a limited benefit health coverage plan to low-income uninsured in the state. Senate Bill (SB) 422 was introduced in June and referred to the Senate Committee on Appropriations. If enacted, SB 422 would create the Michigan Low Income Health Plan, a limited benefit health coverage product available to uninsured residents with income below 100 percent of the Federal poverty level. The plan would be structured as follows:

  • Enrollees would pay a monthly premium to participate, ranging from $5 to $20 per month depending on family income.
  • Coverage would be provided through Michigan’s currently contracted Medicaid Health Plans.
  • Enrollees would be entitled to the minimum essential health benefits defined in the federal health law, coverage for currently unspecified outpatient hospital procedures and an inpatient hospital benefit. Media reports suggest that the inpatient benefit would be subject to an annual dollar cap.

As introduced, the Low Income Health Plan would not utilize any federal Medicaid funding and has been described in media reports as a possible alternative to the proposed Medicaid expansion. The bill has not been addressed at the committee level.

For more information, contact Eileen Ellis, Managing Principal, at (517) 482-9236.