As per a ruling by an independent hearing judge today, Blue Cross Blue Shield of Michigan has been directed to hike the rates of its supplemental Medicare by no more than 3.8%, a figure much lower than the 36.7% the firm had sought.

The final hike, however, still needs to be decided by the state's insurance commissioner, Ken Ross. The final decision has to be handed in by December 6, unless there is a filing of any appeals. Once decided, the price hike could come into effect by February 1.

If Ross sticks with the current decided 3.8% hike in rates, monthly premiums for Blue Cross Plan's Plan C, also known as Medigap, would be hiked by $0.47 per month, i. e., from an earlier figure of $107 to $111. Initial demand by the firm would have pegged the end rate at $146, as has been confirmed by the Michigan Attorney General's office.

"This is great news for Michigan seniors", said John Selleck, a spokesman for Attorney General Mike Cox, while also asserting that if the ruling is upheld, it would save as much as $85 Million for over 210,000 seniors with the coverage.