New insurance exchange is being prepared for Michigan
The Michigan Chamber of Commerce is taking action on health insurance coverage in the state. The Chamber of Commerce has been keeping track of the Affordable Care Act and how its various provisions are being enacted. State officials have noticed two troubling trends: The commissions of the state’s insurance agents has been dropping and the state’s health care system became significantly more complicated than it had been before. In order to alleviate issues that have emerged in the state’s market, the Chamber of Commerce is looking to launch its own health insurance exchange.
New exchange will encourage interaction with insurance agents
The Michigan Chamber of Commerce plans to launch its own insurance exchange on September 1 of this year. The exchange will operate in the same way as other exchanges, but will be equipped with tools designed to help insurance agents and businesses. The exchange will promote interaction with insurance agents, many of whom have been experiencing problems in the market ever since the Affordable Care Act was passed.
Exchanges have made it difficult for agents to meet the needs of their representative companies
Health insurance exchanges have allowed consumers to connect with insurers more directly. In many cases, this has removed agents from the equation, leading to lower commissions. Agents can help consumers enroll for coverage through insurance exchanges by ensuring that applications are filled out correctly. Given the recent issues concerning discrepancies in the information that many consumers provided while filling out their own applications, the value of agents in this regard may be severely understated.
Subsidies will not be available for health insurance coverage purchased through new exchange, but aid can still be obtained through the federal exchange network
The new exchange will be run by the state, which means that consumers may not have access to subsidies being offered by the federal government for the coverage that they purchase. Subsidies are, of course, still available through the federal exchange system, offered to those purchasing coverage through any of the exchanges that have already been built throughout the country.