South Dakota will not set up its own health insurance exchange, instead deferring to the federal government to operate and pay for a key component required by the federal health care overhaul, Gov. Dennis Daugaard said.
President Barack Obama’s health care law requires that each state have such an exchange, an online marketplace where patients and small businesses can shop for health insurance among competing plans. The federal government will directly operate and fund exchanges in states that choose not to operate their own.
Daugaard said South Dakota will join other states that have chosen not to run their own exchanges. About half the states apparently will let the federal government run exchanges, at least initially.
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