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Pennsylvania Will Not Set Up Health Insurance Exchange

Pennsylvania is the latest state to declare it will not set up a state health exchange. States have until Dec. 14 to inform federal regulators whether they intend to establish exchanges.

December 13, 2012
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Pennsylvania will not set up a state health insurance exchange where the uninsured, among others, could use premium subsidies authorized by the health care reform law to buy coverage, Gov. Tom Corbett said Dec. 12.

"Pennsylvania will not move forward with a state-based exchange because there are too many unknowns with too little time, not enough flexibility and too high a cost to our taxpayers," Corbett said in a statement.

Corbett's announcement comes after those made recently by New Jersey Gov. Chris Christie and Tennessee Gov. Bill Haslam that their states will not set up the exchanges.

Under the health care reform law, the federal government can set up health insurance exchanges in states that decline to do so.

States have until Dec. 14 to inform federal regulators whether they intend to establish exchanges.

This week, the U.S. Department of Health and Human Services said it has given tentative approval to applications filed by six states to launch health insurance exchanges: Colorado, Connecticut, Maryland, Massachusetts, Oregon and Washington.

Jerry Geisel writes for Business Insurance, a sister publication of Workforce Management. Comment below or email editors@workforce.com.

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