State RegulationsNY specificDifficulty 1/5
Under the Affordable Care Act, who is eligible to purchase health coverage through an insurance exchange (marketplace)?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under the Affordable Care Act, health insurance exchanges were created to serve two groups: eligible individuals buying their own coverage and small employers seeking coverage for their workers. An individual does not need to be declined by an insurer first, and Medicaid eligibility is a separate program with its own pathway. New York's exchange, operating under New York regulatory oversight, follows the same two-part eligibility structure.
Why the other options are wrong
- B) An applicant need not be rejected by an insurer first; exchange coverage is available to eligible individuals directly.
- C) Large employers are not the exchange's target market; the exchanges serve individuals and small employers.
- D) Medicaid eligibility routes a person to that program; it is not a condition for buying exchange coverage.
Memory hook
Exchanges serve two shoppers: individuals and small employers.