California Advances Bill Setting Up Insurance Exchange
California may become the first state to set up one of the major components of the health overhaul passed last March: insurance exchanges. The state Legislature has sent Governor Arnold Schwarzenegger bills that establish an Internet-based exchange where consumers and small businesses can compare plans. The exchange is seen as a key element in increasing competition and keeping costs down. Republicans opposed the bills, saying that the federal government, not the state, should pay the costs of setting up the exchanges.

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