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Former state Attorney General Mike Cox sues Blue Cross Blue Shield

Blue Cross Blue Shield would undergo major changes under proposed legislation.
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Blue Cross Blue Shield building on Lafayette in Detroit.

Former state Attorney General Mike Cox says Blue Cross Blue Shield of Michigan illegally denies seniors access to certain plans.

Cox filed a class action lawsuit Wednesday against the state’s largest health insurer.

It claims Blue Cross denies access to its most popular Medigap plan to anyone with a retiree health savings account. Medigap is a program that covers healthcare costs that Medicare does not.

Cox said the policy unfairly forces some customers to buy more expensive plans.

“A billionaire could enroll if he or she didn’t have a health savings account. But a working man or woman who works for one of the Big Three spends 20, 30, 40 years to earn a $150-a-month stipend in retirement is turned away by Blue Cross in violation of federal and state law,” he said.

Blue Cross officials say the lawsuit is baseless. They say they’re simply complying with state regulations.

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