Detroit considers pushing its retirees into health exchanges: lawyer

Reuters reports:

Detroit's emergency manager is considering ending its health insurance coverage for city retirees under age 65 and giving them a modest stipend to purchase insurance from the health exchanges being established under Obamacare, according to a lawyer who represents two associations of public workers.

Brian O'Keefe, an attorney who represents associations of Detroit police, firefighters and other city employees, said on Thursday that the emergency manager, Kevyn Orr, is considering offering a stipend of about $125 a month for retirees under age 65. Those over 65, who now get city-paid health insurance to supplement their Medicare coverage, would get only Medicare.

Orr's spokesman, Bill Nowling, said he could not comment on the specifics of the current proposal, but he said Orr initially spoke with the city's unions and pension boards in June about the changes to their healthcare plans. At that time, Nowling said, Orr proposed offering retirees under 65 $110 per month to purchase coverage from a health exchange.