Lt. Gov.: Ohio may opt out of creating own insurance exchange

The Kasich Administration indicated Friday for the first time that Ohio may opt-out of setting up a health insurance exchange (Source: “Ohio may refuse to set up health insurance marketplace, Lt. Gov. Mary Taylor says,” Cleveland Plain Dealer, July 16, 2011).

The federal Patient Protection and Affordable Care Act (ACA) calls for states to provide oversight, set rules for premiums and provide guidelines for consumer protection of health care markets, or “exchanges,” where individuals and small businesses could find coverage.

"Ohio has a very robust health insurance marketplace, and we're concerned about a one-size fits all solution that really isn't going to solve problems here in Ohio,” said Lt. Gov. Mary Taylor, who also is Director of the Ohio Department of Insurance. “We're concerned that our consumers are going to see premium increases."

However, after an appearance at Nationwide Children's Hospital in Columbus last week in which he touted the Accountable Care Organization concept that is promoted in the ACA, Gov. Kasich was quoted by Columbus Business First as saying, "I think an (insurance) exchange is a good idea as well.”

Louisiana is the only other state to publically announce plans to not set up an exchange. If states do not set up their own exchange, the ACA calls for a federal exchange to be made available instead.