Utah to be first to use dual-model health exchange

(AP)—The federal government has approved Utah to become the first state to have a dual-model health insurance exchange in which the state and the federal government divide responsibilities.

The plan allows Utah to continue to run its existing health insurance marketplace for small businesses. The federal government will run the state's individual exchange. The two marketplaces will operate independently of each other.

U.S. Health and Human Services will propose a rule that will allow Utah to use this model. Once the rule becomes official, other states will have the option to consider this plan too.

Gov. Gary Herbert first requested this arrangement in February, and the two sides had been negotiating since.

Herbert said in a conference call with media Friday that the state got everything it wanted and didn't back down.