Michigan health insurers are seeking approval for substantial premium increases in 2027. According to the Michigan Department of Insurance and Financial Services, plans covering nearly 800,000 residents propose an average 14.2% rise for individual policies, including those sold on Healthcare.gov. Small group policies would see a 9.6% average increase. Blue Cross Blue Shield of Michigan, the state's largest insurer, is requesting increases of 12.9% for individual market plans and 7% for small group plans. The company attributes the hikes to rising medical and pharmacy costs, which are expected to increase by 10% in 2027. Similar rate increases are being proposed nationwide, with insurers in 16 states seeking a median 14% premium rise for individual Healthcare.gov plans.

PIA Update for Members with BCBSM Insurance. Thursday, May 7, 2026 As has been widely reported, Michigan Medicine and Blue Cross Blue Shield of Michigan are negotiating their contract that expires at the end of June. Without resolution, effective July 1, 2026, Michigan Medicine's southeast Michigan facilities and physicians will no longer accept commercial BCBS or BCN health insurance and therefore no longer be in-network providers. BCBS/BCN is currently mailing continuity of care and care transition letters to its patients. * Medicare: Physicians or subscribers with Medicare supplemental and advantage policies will not be impacted by the change * Individual Health: Members who have individual policies with BCBSM/BCN will continue to have the option to switch to another carrier during their 2027 open enrollment. Open enrollment is November 2026, for January 1, 2027, effective date. In the meantime, those insured can utilize their out-of-network benefits within their current BCBSM policy, or transfer care to a new physician or facility that remains in-network. With these extenuating circumstances, some insurance carriers are allowing open enrollment mid-cycle. * Group Health: Employers who currently have BCBSM/BCN group plans can change health insurance carriers at any time. PIA can provide proposals for Health Alliance Plan, Priority Health and UnitedHealthcare. Allow 30-45 days to review proposals and complete underwriting paperwork for July 1, 2026, effective date. BCBSM has developed an Employer Toolkit as a resource to help all its group customers and their employees understand what it means if Michigan Medicine leaves their network. The toolkit provides background on the contract negotiations, continuity of care, and additional services. If you have questions or would like additional information, please contact Angela Criswell, Director of Operations and Sales at 517-336-5734 or [email protected].