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Michigan Medicaid Expansion Could Extend Coverage to up to 470,000 Newly Eligible Individuals

November 14, 2013

On Sept. 16, 2013, Michigan Governor Rick Snyder signed into law the “Healthy Michigan” Act (2013 Public Act No. 107), which will take advantage of the Affordable Care Act’s expansion of coverage to individuals with incomes below 133 percent of the FPL. The governor’s office anticipates that this expansion, which will take effect in April 2014, will ultimately add up to 470,000 new Medicaid beneficiaries. Newly eligible individuals will be enrolled in private health plans and will be required to make cost-sharing contributions of up to 7 percent of their income unless they can demonstrate “healthy behaviors” such as low body mass index (BMI) and non-smoker status. As a result, workers with disabilities in the expansion population who are not otherwise eligible for Medicaid may remain unable to access the types of LTSS available through full Medicaid benefits and may face high costsharing payments. Individuals in need of frequent health care services, and those whose disabilities preclude the required “healthy behaviors,” may face particularly high cost-sharing expenditures. The ACA requires, however, that Michigan give members of the expansion population the option to enroll in the regular Medicaid program if they qualify as “medically frail,” a category that includes people with significant mental or physical disabilities.

See Press Release, Sept. 16, 2013, available at http://www.michigan.gov/snyder/0,4668,7-277-57577_57657-312514--,00.html