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California receives approval for health exchange

SACRAMENTO — The federal government on Thursday approved California's plan to run its own health insurance market, a milestone in the state's effort to meet requirements of the national health care reform law.

California was among seven states that received conditional approval from the U.S. Department of Health and Human Services to operate their own insurance exchanges. Arkansas was approved to operate a partnership exchange with the federal government.

In all, 19 states and Washington, D.C., have been partially or fully approved. Other states have until Feb. 15 to apply for a partnership exchange.

Health and Human Services Secretary Kathleen Sebelius said Thursday's action will accelerate development of the health insurance marketplaces, where she said consumers will be able to buy affordable, high quality insurance. Conditional approval "will provide the information states need to guide their continued work."

California was the first state to authorize a health insurance exchange after passage of the federal Affordable Care Act in 2010.


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