Healthy Michigan Plan

The Healthy Michigan Plan – Michigan’s expanded Medicaid has been a phenomenal success.

But the law was written so that there were 2 waivers that had to be granted by the Federal government. The first waiver was to allow certain cost-sharing requirements including co-pays to go into effect, as well as special cost-sharing accounts. Newly eligible Medicaid enrollees would contribute a portion of their income into these accounts. Incentives for healthy behaviors could help lower the amount of contribution required.

This waiver was granted, and the Healthy Michigan Plan began taking applications on April 1, 2014.

The second waiver would allow the state to require individuals who had been on the Healthy Michigan Plan for 48 months and who were between 100 percent and 133 percent of the federal poverty guidelines to choose to either:

 1) Remain in Medicaid but increase their cost-sharing obligations, or

2) purchase private insurance coverage through the Michigan’s federally-operated Health Insurance Marketplace (in so doing, take advantage of the federal advance premium tax credit and cost-sharing subsidies).

The Federal government will make a decision on this waiver later this year.

IF this waiver is not granted, the way the law is written, it will cause the entire program to be null and void. The 546,000+ individuals enrolled in the Healthy Michigan Plan would no longer have any insurance. None.

And, remember – the way the Affordable Care Act was written, those under 100% of the Federal poverty level cannot access the Premium Tax Credits to purchase insurance. That is because the law was written so that all of those under 100% of the Federal Poverty Level would have access to the expanded Medicaid, but that portion of the law was declared unconstitutional by the Supreme Court.