Tennessee rejects exchange partnership

Friday, February 15, 2013, Vol. 37, No. 7

NASHVILLE (AP) — Gov. Bill Haslam says Tennessee won't participate in a partnership with the federal government in establishing a health insurance exchange.

In a letter to U.S. Health and Human Resources Secretary Kathleen Sebelius obtained Friday by The Associated Press, the Republican governor said the partnership model doesn't address his concerns over what he called misguided federal polices, aggressive timelines and a lack of flexibility for the states.

Haslam noted that he had the same complaints when he rejected a state-based exchange in December.

Exchanges are online markets where consumers will be able to buy individual private policies and apply for government subsidies to help pay their premiums. Haslam's decision means Tennesseans will participate in an exchange completely run by the federal government.

About 982,000 people are uninsured in Tennessee.