What are Michigans licensure requirements for preferred provider organizations (PPOs)?
Michigan does not require licensure of PPOs that bear no insurance risk, that is PPOs that accept fee-for-service reimbursement with no risk pooling or transfer. Licensed risk bearers and licensed claim processors (insurers and third party administrators) that condition the delivery of benefits upon the use of a particular panel of healthcare providers are subject to Michigan’s Prudent Purchaser Act (PPA).