November 10, 2012

States get wiggle room on health-care exchange plans

The Associated Press

WASHINGTON – Trying to show flexibility without slowing down President Obama's health care law, the administration said Friday states can have more time to work out their roles in providing health care to millions of uninsured Americans.

In a letter to governors, Health and Human Services Secretary Kathleen Sebelius said she still wants to hear by the end of next week if states will be setting up health insurance markets under the law. But governors can now take another month, until mid-December, to submit detailed blueprints.

The new insurance exchanges will allow households and small businesses to buy a private health plan, and many will get help from the government to pay their premiums. Under the law, states that can't or won't set up exchanges will have theirs run by Washington.

But many governors and state lawmakers have been on the fence, awaiting the outcome of the presidential election. And the lost time left them fewer options.

In a concession to procrastinators, Sebelius said states considering a partnership with the federal government to run their exchanges can now have until mid-February to make a decision and submit blueprints.

The partnership option allows states to handle consumer relations and oversight of health plans, while the federal government takes care of enrollment.

 

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