Michigan Places Consumers Mutual Insurance in Rehabilitation

The Michigan Department of Insurance and Financial Services (DIFS) has placed Consumers Mutual Insurance of Michigan (Consumers Mutual) in rehabilitation.

Consumers Mutual has been offering health insurance through Michigan’s health insurance marketplace. The company and the DIFS jointly announced in early November that Consumers Mutual had decided not to participate on the marketplace in 2016, and to wind down operations. All individual and group policyholders of Consumers Mutual were advised to seek other healthcare coverage options both on and off the marketplace during the open enrollment period.

The Rehabilitation Order allows DIFS to ascertain Consumers Mutual’s financial condition and implement steps to protect policyholders and creditors.

Individual policyholders of Consumers Mutual need to enroll in a new plan by December 15 in order for health coverage to begin Jan. 1, 2016, the DIFS said.

Employer groups are strongly encouraged to work with their agents or brokers to transition their coverage to a new carrier effective Jan. 1, 2016.

Source: Michigan DIFS

Related:

• Michigan’s Consumers Mutual to Exit Health Insurance Market

Topics Michigan