Michigan Blues warned about undermarketing medigap

NEWS IN BRIEF — Posted Feb. 2, 2009

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Michigan's Attorney General's office has warned Blue Cross Blue Shield of Michigan that it needs to do a better job marketing its medigap plans -- those that complement traditional Medicare -- rather than its Medicare Advantage plans.

In a letter to the Blues plan sent in December 2008, the state's chief deputy attorney general, said the state had received complaints about the company using "deceptive practices" to keep potential enrollees from signing up for its medigap plans, including instructing its brokers not to discuss the plans.

Blue Cross spokeswoman Helen Stojic said the warning letter was based on just seven complaints, and that the company was enrolling plenty of medigap customers.

"The application numbers speak for themselves," she said. "We have distributed 10,428 enrollment kits and received 6,121 applications for January enrollment. We typically receive about 1,000 applications every month."

Note: This item originally appeared at

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