In an editorial written for Bloomberg, Kansas Commissioner of Insurance Sandy Praeger Kansas has yet to decided whether to go ahead and create an exchange, or marketplace where businesses and consumers can compare and shop for insurance plans. “My office is now analyzing whether we can design one that meets the needs of Kansans and still foster a competitive marketplace,” she write.
The U.S. Department of Health and Human Services published last week rules for the health-insurance exchanges that states are to set up under the 2010 Affordable Care Act. Praeger says for the most part, the new regulations are useful and give officials direction to establish an exchange that’s right for their state. But she says, “there are many key things I had hoped this document would address, but doesn’t, including which benefits the participating insurers should be required to cover and how Medicaid and other federal subsidies will be coordinated with the exchanges.”
“Based on my initial review, I was pleased to find the rules are not overly prescriptive and leave most of the key decisions up to the states. A state may create an exchange that is very open, where all qualified health plans are able to participate and consumers have many choices. Or, it may limit participation to those insurers that are willing to negotiate with the state.”
She also says states are provided considerable flexibility in establishing what role agents and brokers will play. Registered agents and brokers provide consumers critical assistance in determining the best plan for their needs. “In Kansas we have no intention of pushing them out of the system and leaving consumers without their guidance,” Praeger writes.