Policy

Minnesota gets $26 million grant to create health insurance exchange

To aid in the effort to create a state health insurance exchange, Minnesota’s Department of […]

To aid in the effort to create a state health insurance exchange, Minnesota’s Department of Commerce announced that it has received a $26 million federal grant.

Minnesota, like other states, has less than a year to meet a deadline put in place by the Obama administration’s healthcare law. That provision requires states to design a health insurance exchange by Jan. 1, 2013 and for it to be operational a year later. If the state fails to design an insurance exchange, the federal government will create one for the state.  Previously, Minnesota received $5.2 million planning and development grants to spur the process.

The state’s efforts come without any legislative support so far and is being led by Democratic Gov. Mark Dayton, who set up two healthcare task forces by executive order in October.

Two bills are in the state legislature and the House version authored by state Democrats recently won support from three Republican legislators. The Star Tribune reports that under the proposed bill,

… the exchange would be governed by a 19-member board appointed largely by the Legislature and governor. It would include consumers, small employers, the health care and insurance representatives, health practitioners, other experts and three state agency commissioners. It would require all insurers to participate, with the same rules for insurance plans in or out of the exchange.

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