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State Official Opposes Michigan Blue Conversion

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NU Online News Service, March 1, 3:11 p.m. – Selling Blue Cross and Blue Shield of Michigan, Detroit, or converting it to for-profit status would violate current state law and jeopardize the integrity of the state’s public health system, according to Michigan Attorney General Jennifer Granholm.

The Michigan Legislature established Michigan Blue as a nonprofit, charitable, and benevolent institution expressly for the purpose of fulfilling the health care needs of Michigan residents, Granholm argues in a letter to the newly created Michigan House Committee on Health Insurance.

Operating Michigan Blue as a for-profit company would violate the Non-Profit Health Care Corporation Reform Act, the law that enables the insurer to exist, Granholm says.


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