A bill passed by the Michigan Senate would allow health care providers could use a "moral objection" or "matter of conscience" standard to refuse service to patients.
The legislation moves to the state House for consideration next week following Thursday's 26-12 vote.
The Michigan Catholic Conference issued a statement in support of the changes. Planned Parenthood says the legislation jeopardizes the health of women and families.
Under the legislation, coverage plans participating in health exchanges that are part of President Barack Obama's federal health care act couldn't cover elective abortions unless the coverage is offered as a separate optional rider.
The state already has a conscientious objection clause for abortion services, but some say birth control prescriptions also could be affected.