Cost of State Insurance Exchange May Be Too High for Some States

The high cost of running a state-based health insurance exchanges created under the Affordable Care Act could lead to states turning over operations to the federal government or joining forces with other states.

The high cost of running a state-based health insurance exchanges created under the Affordable Care Act could lead to states turning over operations to the federal government or joining forces with other states, according to a report from The Associated Press.

In March, Oregon killed its insurance exchange after it wasn't even used during the last open enrollment period. The state’s exchange spent more than $300 million to launch a working website, but Oregon used HealthCare.gov to sign up enrollees during enrollment for the 2015 coverage year and legislature voted in February to close the exchange.

Now Hawaii, which was awarded $205 million in federal startup grants and has spent $139 million, is turning to HealthCare.gov for 2016. Now of the 12 states and the District of Columbia that fully control their markets, about half face financial difficulties, according to experts.

Read more from The Associated Press: http://abcn.ws/1LKpew3