The Detroit News: GM drops BCBS for Aetna to administer salaried health insurance

General Motors Co. is dropping Blue Cross Blue Shield of Michigan and switching to Aetna Inc. to administer health insurance for its salaried workforce, affecting roughly 92,000 members in Michigan starting Jan. 1, 2027, The Detroit News reported Oct. 8, 2026. The shift consolidates administrative work across all 40,000 salaried GM workers nationwide under Aetna, though the automaker remains self-insured and continues to pay medical bills directly.

Procurement Decision Affects Michigan Salaried Members

The planned Jan. 1, 2027, transition is the result of an extended procurement process, Tricia Keith wrote in an internal memo obtained by The Detroit News. Keith told staff that the decision reinforces the competitiveness of the health insurance market and urged employees to accelerate company transformation efforts. GM spokesperson Kevin Kelly stated that Michigan is the only state where the automaker used Blue Cross as its health care administrator. Employees received notification of the change on Oct. 7, 2026, ahead of the open enrollment period starting Oct. 21, 2026, according to reporting by the Detroit Free Press.

Health Care Coverage Remains Stable for GM Employees

Despite the administrative change, Kelly said that adjustments to health care coverage for Michigan residents will not be significant and should cause little disruption to employees or their current medical providers. GM has not immediately disclosed the cost savings it expects to achieve by consolidating administrative functions under Aetna. Meanwhile, Blue Cross Blue Shield of Michigan will maintain coverage for GM’s unionized workforce of about 100,000 employees and their dependents, according to a statement from BCBSM spokesperson Andy Hetzel reported by The Detroit News.

Antitrust Lawsuit Follows Major Account Loss

The loss of the GM salaried account arrived just a day before Michigan Attorney General Dana Nessel filed an antitrust lawsuit against Blue Cross Blue Shield of Michigan, alleging that the insurer created an illegal monopoly across the state, as detailed in reports from The Detroit News and the Detroit Free Press. The lawsuit contends that the insurer’s market dominance forces medical providers to accept low reimbursements while premiums continue to climb for the state’s approximately 4.5 million customers. Blue Cross representatives expressed disappointment over losing the GM white-collar contract but emphasized confidence in their broader market position and ongoing corporate transformation.