Michigan Senate approves Blue Cross changes

The Republican-led Michigan Senate has given final approval to legislation to overhaul Blue Cross Blue Shield of Michigan.

The legislation approved Tuesday now heads to Republican Gov. Rick Snyder's desk. The legislation will transform the state's largest health care insurer from a charitable trust into a customer-owned nonprofit and end its tax-exempt status.

READ: Michigan Senate committee approves Blue Cross overhaul

Supporters say the insurer must be modernized to prepare for implementation of the federal health care law. Opponents say the change will hurt senior citizens with Medigap coverage.

Changes were approved by the Senate in January. The House passed the bills last week, but they were sent back to the Senate to receive final approval on a minor change.

The bills do not include the abortion provisions that prompted Snyder to veto Blue Cross legislation last year.