Priority Health to cut premiums during pandemic

GRAND RAPIDS—Health insurer Priority Health announced reductions in premiums and cost sharing for its customers due to lowered use of health services during the coronavirus pandemic.

Included are:

  • Zero sharing for all Priority Medicare Advantage members for in-person and telehealth primary care services May 1 through Dec. 31, 2020
  • A 15 percent premium credit for June and July 2020 for MyPriority Individual plan members
  • A 15 percent premium credit issued in June and July 2020 for small group employers (2-50 employees)
  • Large, fully funded employers will also have an opportunity for premium credits in the fourth quarter, when the total amount of excess revenue available can be determined

Company officials said the pandemic has caused “widespread disruption” to the way consumers are using health care, with many procedures either being delayed or canceled. As a result, Priority officials said they’ve decided to return any revenue above the company’s 10 percent administrative rate back to employers and members.

“Our team is focused on people, not profits, and the welfare of our members is always our top priority,” said Joan Budden, president and CEO of Priority Health. “Small businesses and individual consumers have been particularly hard hit during this outbreak. We hope this relief will make it easier for them to stay covered. We also recognize that the lives and health care routine of our senior members has been significantly impacted. We want to make sure these members are able to reengage with the health care system without having to worry about the cost of a copay to see their doctor.”

This action is just the latest in a series of steps that Priority Health has taken to support its employer groups, members and physician and provider partners since the emergence of COVID-19 including:

  • Fully covering the cost of physician-ordered COVID-19 testing for all members
  • Waiving all copays, deductibles and coinsurance for the treatment of COVID-19 through June 30
  • Expanding $0 virtual care to most members for routine care through June 30
  • Expanding free home medication delivery for all members
  • Providing free access for all members to myStrength, an online mental wellness tool
  • Accelerating value-based payments and quality bonuses to offer physician and provider partners financial stability
  • Offering flexibility to employer groups on premium payments and eligibility criteria
  • As part of an integrated health system, Priority Health is also participating in temporary measures announced by Spectrum Health including executive compensation reductions, suspension of retirement matching program for employees and aggressively reducing expenses and prioritizing 2020 spending

Priority Health also continues to follow the CDC’s activities and work with local health departments and the Michigan Department of Health and Human Services to share COVID-19 educational information. For more information on Priority Health and ongoing efforts surrounding COVID-19, visit

Priority Health is the second largest health plan in Michigan, offering a broad portfolio of health benefits options for employer groups and individuals, including Medicare and Medicaid plans. It serves more than a million members each year and offers a network that includes 97 percent of primary care physicians in Michigan.

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