(AP) -- LANSING, Mich. (AP) - A new study says a proposal to put all public employees in Michigan under one health care plan could end up costing more than it saves. Public employee and other unions financed the study by the nonpartisan Public Policy Associates of Lansing.
Democratic House Speaker Andy Dillon of Wayne County's Redford Township has estimated consolidating health care could save up to $900 million. But the study says claimed savings "are dramatically overestimated."
It says it's more likely the plan could cost taxpayers up to $500 million to launch and up to $370 million annually to administer, and could cut coverage and increase workers' costs.
Dillon says the report is flawed and underestimates administrative costs employers now pay.
Public Policy Associates: http://www.publicpolicy.com
Dillon plan: http://www.newideasformichigan.org
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