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State insurance marketplaces receive $1.5 billion

NEWS IN BRIEF — Posted Jan. 28, 2013

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The Dept. of Health and Human Services awarded $1.5 billion in grants to 11 states on Jan. 17 to support the development of health insurance exchanges under the Affordable Care Act.

The states are California, Delaware, Iowa, Kentucky, Massachusetts, Michigan, Minnesota, New York, North Carolina, Oregon and Vermont. All but one of these states are moving forward with state-run insurance marketplaces, and many of them have been approved conditionally by HHS. Delaware is planning to run a partnership exchange with the federal government.

One-year grants to build exchanges were granted to Delaware, Iowa, Michigan, Minnesota, North Carolina and Vermont. California, Kentucky, Massachusetts, New York and Oregon were awarded multiyear grants.

According to HHS, 49 states and the District of Columbia as well as four U.S. territories have received planning grants for their exchanges. Thirty-four states and D.C. have been given grant money to build these new marketplaces. All exchanges must be operational by Jan. 1, 2014.

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