In October 2026, the Michigan Attorney General’s Office filed a lawsuit against Blue Cross Blue Shield of Michigan Mutual Insurance Company. The complaint alleges that BCBS of Michigan conspired with other Blue Cross and Blue Shield entities to allocate customers and territories which eliminated competition for health insurance services, harming both Michigan when contracting for an insurer to administer the state’s employee medical benefit plan as Michigan consumers. The complaint states that the Blue Cross and Blue Shield entities agreed to only compete for accounts headquartered within their allocated territories through the Blue Cross Blue Shield Association.

The complaint also alleged that BCBS of Michigan uses its dominant market position in the health insurance market to drive down the reimbursement rates it pays to health care provides, resulting in providers reducing services, cutting staff, closing facilities, or exiting the Michigan market, which degraded the health care infrastructure available to Michigan residents. Michigan alleges that the defendant’s conduct violates both the federal Sherman Act and the Michigan Antitrust Reform Act.