Gov: Priority Health is benchmark plan

LANSING, Mich. (AP) - Gov. Rick Snyder has recommended Grand Rapids-based Priority Health's HMO as the benchmark plan for Michigan's health insurance offerings.

MLive.com reports Snyder sent a letter to the U.S. Department of Health and Human Services last week recommending Priority Health as the state's benchmark plan for 2014 and 2015. Priority Health is majority owned by Spectrum Health and covers more than 600,000 people through its health plans.

The decision must be finalized by the federal government.

Starting in 2014, the Affordable Care Act will require individual and small group health plans to offer certain products and services known as "essential health benefits."

The act also calls for a health insurance exchange. Snyder's administration has said it's planning a federal partnership for the online exchange.