Hundreds of retired nurses who worked at Ascension Borgess Hospital in Kalamazoo, Mich. — now Beacon Kalamazoo — are set to lose a Medigap reimbursement benefit, according to the Michigan Nurses Association.
South Bend, Ind.-based Beacon Health System completed its acquisition of Ascension Southwest Michigan, including the Kalamazoo facility, in July.
Under Ascension ownership, the hospital reimbursed retired nurses for Medigap insurance — which covers costs not included in Medicare — up to $1,850 a year, according to a Dec. 11 news release from the Michigan Nurses Association. Beacon Health System has notified retirees that the benefit will end Dec. 31, the union said.
“I gave 38 years to the hospital, taking care of other families, sometimes leaving sick babies at home to go to work,” Linn Crutcher, RN, 76, said in the release. “I feel I’ve earned this benefit. Taking away this healthcare coverage is a slap in the face and a financial burden that many of us seniors will have a hard time absorbing.”
In a statement shared with Becker’s, Beacon Health System said former Ascension employees who previously received Medigap reimbursement benefits have been directed to contact Ascension, as Beacon did not assume the plan as part of this year’s acquisition.
“Under the terms of the agreement executed at closing in July 2025, all obligations related to Medigap remained with Ascension,” the system said. “Beacon Health System has honored every commitment within the scope of the transaction.”
Beacon also said it remains focused on supporting caregivers and fostering a respectful environment for its nursing team.
Becker’s has reached out to Ascension and will update this story if a comment is received.
