Michigan Business and Professional Association Hails Enactment of Medicaid Expansion in Michigan

Sept. 4, 2013 - PRLog -- The Michigan Business and Professional Association (http://michbusiness.org/) (MBPA) marks today as a monumental day for Michigan residents following the final passage of legislation authorizing the Medicaid expansion prescribed under the 2010 federal Affordable Care Act. This final action by the Legislature and signing by Governor Snyder means that more than 400,000 uninsured adults 65 years old and younger with an annual income level up to 133 percent of the federal poverty level (FPL) will now be able to enroll in Medicaid starting in March 2014.

“We are very pleased that the hard work from the Michigan House and Senate, coupled with extraordinary efforts by Governor Rick Snyder, will make it possible for more Michigan residents in need of care to receive it,” said Jennifer Kluge, MBPA President and CEO. “Supporting this measure provides health insurance cost relief to both individuals and the business community by reducing the cost shift of uncompensated care, saving the general fund millions of dollars and putting federal money to work in our State,” she continued.

She explained that, although MBPA actually opposed the ACA, the organization supports Medicaid expansion in Michigan because it will reduce the cost-shift from hospitals to insurers, and then to employers, to cover the cost of providing care for the uninsured that imposes a hidden annual tax of approximately $1,000 per family through higher insurance premiums.

The organization also feels that Medicaid expansion may help Michigan employers by lowering the risk of penalties under the ACA that occur if a worker accesses subsidized coverage through the insurance Marketplace, but do not occur if the worker accesses coverage through the Medicaid program—a savings of $2,000-$3,000 per employee.

The expansion of Medicaid provided for by the Affordable Care Act (ACA) is the way that people who could not otherwise afford health insurance can now qualify for coverage and represents a potential addition of up to $200 million in federal funding for Michigan.

MBPA Vice President of Government Relations Bonnie Bochniak explained that, despite the debate over Medicaid expansion in Michigan, MBPA has been at the forefront in assisting its members and the business community in understanding and implementing the health care reform measures dictated by the ACA and will continue to do so throughout implementation of the new law.

The Michigan Business and Professional Association boasts a statewide sphere of influence that no other organization of its kind can claim, leveraging a depth of programs and community initiatives that positively impact more than 150,000 businesses. Learn more at www.michbusiness.org.

For Further Information:

Bonnie Bochniak          (517) 203-9851 Cell

Jennifer Kluge          586-393-8800 Office

         586-202-1441 Cell

Sue Voyles          734-667-2005 Office

         734-635-3831 Cell