U.S. government OKs dismantling Kentucky health exchange

Published: Oct. 4, 2016 at 6:41 PM EDT
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The federal government has given the okay to Gov. Matt Bevin's plan to dismantle Kentucky's much-praised health exchange.

The approval came in a letter Tuesday from the Department of Health and Human Services, but it expressed caution saying the department is concerned about the 500,000 thousand Kentuckians on kynect.

The exchange, known as kynect, was launched in 2013 and has been a way for Kentucky residents to shop for health insurance or enroll in Medicaid under the federal Affordable Care Act. After Nov. 1, people in Kentucky will use the federal health exchange to find coverage.

Andrew Slavitt of the U.S. Health and Human Services Department says the agency is concerned about the transition's impact on those who gained coverage through kynect. Slavitt said in a letter to Bevin that it's important that the transition be clearly explained to consumers.

Bevin, a Republican, vowed to dismantle the health initiatives of previous Gov. Steve Beshear, a Democrat who took full advantage of federal health care law.