Governor Gretchen Whitmer signed an executive directive ordering the Michigan Department of Insurance and Financial Services (DIFS) to help residents afford health coverage as the state braces for the fallout from a Republican-backed federal budget bill. The move comes as premiums are set to rise and eligibility requirements tighten, threatening to strip coverage from hundreds of thousands of Michiganders.
“The Republican budget bill will raise the price of health insurance, forcing American families to lose out on thousands of dollars every single year,” Whitmer said. “While I can’t control healthcare policy at the national level, I’m doing what I can to ease the burden on Michigan families. That’s why I’ve asked DIFS to inform Michiganders of their options when enrolling in the Marketplace and answer any questions they may have. I’m grateful to DIFS for working with my administration to make sure Michiganders can keep or get insurance that won’t break the bank. I’ll keep working with anyone to protect access to quality, affordable health care for every Michigander.”
Lieutenant Governor Garlin Gilchrist said the consequences will be felt in everyday households. “The Republican budget bill will raise costs for families and cause hundreds of thousands of Michiganders to lose their health insurance,” he said. “This isn’t abstract. Its impacts will show up in skipped prescriptions and tough conversations about how to afford a doctor visit. We must stand firm against any efforts to undermine Michiganders’ access to quality, affordable health care. Today, we’re asking DIFS to help Michiganders find health insurance and understand their options. Governor Whitmer and I will keep fighting hard and Standing Tall so every Michigander has a path to health, wealth, and prosperity.”
The governor’s directive instructs DIFS to raise awareness during Open Enrollment, operate helplines to answer questions, and connect families with Health Insurance Navigators. The agency will be tasked with helping residents navigate new federal requirements that add paperwork hurdles and shorten enrollment windows, making it easier for people to lose coverage. These changes hit Detroit especially hard. Nearly 80 percent of Detroiters are enrolled in public health insurance programs, and thousands rely on Marketplace plans to bridge the gap when they earn too much for Medicaid but not enough for employer-sponsored coverage. Families living near or below the poverty line will now face higher premiums and tighter deadlines, leaving them more vulnerable to losing care altogether.
Anita Fox, director of DIFS, said state regulators are bracing for the fallout. “Access to affordable, quality health insurance is important for staying healthy and for peace of mind and financial security if someone in your family is sick or injured,” she said. “We are proud that Michigan currently has the lowest uninsured rate in history, but new federal changes will raise out-of-pocket costs and make it more difficult to apply for and stay enrolled in health insurance, jeopardizing Michiganders’ health. Michiganders who need help finding or maintaining health insurance or understanding their options can call DIFS at 877-999-6442, Monday through Friday from 8 a.m. to 5 p.m. or visit Michigan.gov/HealthInsurance.”
Providers in Northern Michigan also underscored the importance of coverage. “Munson Healthcare remains committed to providing the highest quality of care to more than 500,000 patients across our rural Northern Michigan area,” said Ed Ness, President and CEO of Munson Healthcare. “We support efforts to connect our patients to the tools they need to obtain health insurance coverage, because we know it is critically important to ensuring the best possible health outcomes.”
Community health groups warned that higher premiums and co-pays often push families into delaying care. “We know that when health insurance is unaffordable or it costs too much money to access care and prescriptions, it leads to delayed and missed healthcare,” said Phillip Bergquist, CEO of the Michigan Primary Care Association. “The burden of high health insurance premiums and out-of-pocket costs doesn’t just impact families financially—it often decreases preventive care, leads to less treatment for chronic conditions, and results in poorer health outcomes.”
Hospitals also raised alarms about the future of the Affordable Care Act’s Enhanced Premium Tax Credits, which Republicans did not extend in their budget bill. “Extending the Affordable Care Act premium credits should be the top priority of the federal government to maintain healthcare coverage for more than 500,000 Michiganders prior to the expiration deadline at the end of the year,” said Brian Peters, CEO of the Michigan Health and Hospital Association. “These credits are key to keeping affordable health insurance for many of our citizens and need to be acted upon. Health insurance coverage keeps Michiganders healthy and out of the hospital.”
Advocacy leaders tied the issue to Medicaid cuts and warned of ripple effects in Detroit, where households are already carrying heavy medical debt. “We applaud the governor’s focus on ensuring that Michiganders receive the support they need to navigate the health care access and affordability challenges that are anticipated in the wake of last month’s passage of the federal Republican Megabill,” said Monique Stanton, President and CEO of the Michigan League for Public Policy. “This support will be especially important for the more than half a million Michiganders who are at risk of losing their health care coverage as a result of the devastating cuts to Medicaid. We know that people across our state will soon be grappling with loss of coverage, major price surges and new requirements to keep their insurance, so the more that can be done to educate them and ensure they have the resources they need to navigate through these difficult times is critically important to the future health of our communities.”
The federal changes create more barriers for residents who depend on the Marketplace for affordable coverage. Families will now face stricter income verification and, starting in 2026, a shorter enrollment window. The Marketplace and tax credits have saved Michiganders more than $700 per year on average, according to federal data, but those savings are at risk. The Peterson-KFF Health System Tracker estimates that premiums could rise by 75 percent if the credits expire. The Urban Institute projects that without action, more than 4 million Americans will be left uninsured by 2034.
For Detroit, the loss of affordability would compound existing inequities. The city has one of the highest poverty rates in the country, with many families straddling the line between Medicaid eligibility and private coverage. When insurance becomes unaffordable, families often skip preventive care, delay treatment, or turn to emergency rooms—costly outcomes that strain both patients and hospitals. Community leaders warn that the new rules could widen racial and economic health disparities in the city, where Black and Brown families already face disproportionate barriers to care.
Whitmer’s directive cannot undo federal policy, but it signals that Michigan will use every tool at its disposal to protect residents from losing insurance. By directing DIFS to step in, the administration is trying to ensure that Detroit families and households across the state do not lose coverage because of red tape or confusion. The governor’s office, healthcare providers, and advocacy groups remain aligned in their call for Congress to act before the end of the year to extend tax credits and restore affordability.
For now, Detroit families and others across Michigan are being urged to stay informed, call DIFS for help, and act quickly during enrollment. The stakes are clear: without intervention, the cost of health insurance will rise, coverage will shrink, and the fallout will be felt most sharply in households already living on the edge.
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