Insurance: health insurers; compliance with affordable care act coverage; modify. Amends secs. 3403, 3406z, 3406bb, 3406hh & 3406ii of 1956 PA 218 (MCL 500.3403 et seq.).

Insurers must make dependent coverage available to children until age 26, at the option of the policyholder, and must provide the same benefits and premium rates to dependent children as other covered dependents.

Health insurance policies must include provisions that coverage for newly born children begins at the moment of birth and includes care for congenital defects and birth abnormalities.

Insurers cannot deny enrollment to a child based on whether the child was born out of wedlock, whether the child is claimed as a dependent on a federal tax return, or whether the child resides with the insured or in the insurer's service area.

Insurers in the individual or small group market must provide coverage for a comprehensive list of essential health benefits including preventive services, mental health, prescription drugs, and pediatric services.

Added new provisions requiring insurers to not impose cost-sharing requirements for preventive services and to cover out-of-network providers when no in-network provider is available for certain services.

Strengthened mental health and substance use disorder parity requirements, ensuring financial and treatment limitations for mental health benefits are no more restrictive than those for medical/surgical benefits.

Prohibits preexisting condition exclusions for health insurance policies, with specific exemptions for certain limited benefit policies, fixed indemnity plans, and retiree-only coverage.

Added provisions requiring insurers to cover items and services recommended by federal guidelines within one year of the recommendation being issued.

Added new definitions for terms like 'non-grandfathered health plan coverage' and clarified what constitutes 'financial requirements' and 'nonquantitative treatment limitations'.

Added explicit exemptions for retiree-only health insurance coverage in several sections, clarifying that these specific protections do not apply to retiree-only plans.