Health Care Law Blog

Michigan Will Not Operate a State-Based Health Insurance Exchange

Over the past several weeks, the nation has seen a flurry of announcements issued by states as to how such states will implement and operate the health insurance exchanges (“HIE”) required by the Affordable Care Act. States have three options as to how they may run their HIEs:

1. state-based health insurance exchanges (“ State Based HIE”);
2. partnership-based HIEs whereby a state will coordinate with the federal government to run an HIE (“Partnership-Based Exchange”); or
3. the default federally-run HIE (“Federal HIE”).

In Michigan yesterday, legislation creating a State Based HIE was voted down by the Michigan House of Representatives. Officials have indicated this will likely mean that Michigan will opt into the Partnership-Based Exchange. Ohio, Illinois, Arkansas, and North Carolina are amongst those other states that will use the Partnership-Based Exchange to operate their HIEs. States opting to run State-Based Exchanges include Washington, Oregon, New York and California. Arizona, Kansas, Wisconsin, Alabama, and Texas are among those states that will operate under the Federal HIE.  

Categories: Health Care Reform, Health Insurance Exchange, Regulatory

Posted by: Jennifer Kildea Dewane