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Mich. Medigap clients given more time to prove residency

Insurance regulators have told Michigan's largest health care provider to give seniors who purchase Medigap coverage more time to prove they live in the state so they can avoid a large rate increase.

By Kathy Barks Hoffman | Updated on August 16, 2011

LANSING, Mich. (AP) — Insurance regulators have told Michigan’s largest health care provider to give seniors who purchase Medigap coverage more time to prove they live in the state so they can avoid a large rate increase.

A significant number of in-state Medigap customers have complained to the state Office of Financial and Insurance Regulation that Blue Cross Blue Shield of Michigan sent them letters in early July incorrectly classifying them as out-of-state residents and giving them just 30 days to prove they live in Michigan, the agency said Tuesday in a release.

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