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Olszewski Will Testify Before Joint Senate Committee On Michigan First Health Plan

February 1, 2006

Michigan Department of Community Health Director Janet Olszewski will testify before a Senate hearing today regarding Governor Jennifer M. Granholm’s creative strategy to dramatically expand access to quality, affordable health insurance in Michigan.

The Michigan First Health Plan will give more than 500,000 Michigan citizens access to affordable private health care plans without increasing state spending or increasing taxes, Olszewski told a joint meeting of the Senate’s Department of Community Health Appropriations Subcommittee and its Health Policy Committee.

“This plan will help small business employees, the self-employed, and working poor citizens – most of whom do not have access to health insurance through their place of work and do not qualify for government programs like Medicaid,” she said.

Olszewski said Michigan First will be guided by principles of fairness and ability to pay, and individuals with incomes below 100 percent of the federal poverty level ($19,350 for a family of four) will pay minimal out of pocket costs.

“Everyone will pay something – and people enrolled in the program are expected to increase their contribution as their incomes rise,” she said. “Further, everyone enrolled in this program is expected to take personal responsibility for healthy behaviors. Private insurers that will partner with us in this endeavor will be expected to offer plans that encourage this activity.”

The Governor’s plan will harness state, federal, and private resources in a managed environment to create quality, affordable private health insurance for more uninsured individuals.

Olszewski also said that families that participate in this program will eventually be able to select private health insurance options that will include basic preventative and primary care coverage, emergency room services, hospitalization, mental health care, and prescription drug coverage.

Olszewski said conversations with the federal government, health care providers, and private insurers will continue this year as MDCH finalizes the details of the plan, which is scheduled to be implemented by April 2007.