When establishing a state-based marketplace, states may opt to set up their marketplace as a nonprofit entity or a governmental agency. Marketplaces established as governmental agencies may be housed within an existing state office or as their own independent public agency or corporation. Most of the state-based marketplaces that are nonprofit entities or independent public agencies have a board that oversees their operations.
Each governance model has varying implications for marketplace operations — including budgets, contracts, staffing, and oversight — with further variation based on how each type of entity is governed in the state. No matter the structure, all state-based marketplaces must meet federal standards, including public accountability and security standards, to ensure that the marketplace is operating in the best interest of its consumers.
| State | Division within state agency | Nonprofit public corporation | Quasi-governmental entity | Independent public agency or corporation | Governing committee/ board? |
|---|---|---|---|---|---|
| Arkansas | Arkansas Insurance Department | None | |||
| California | ✓ | 5-member board of directors | |||
| Colorado | ✓ | 12-member board of directors | |||
| Connecticut | ✓ | 14-member board of directors | |||
| District of Columbia | ✓ | 11-member board of directors | |||
| Georgia | Office of Commissioner of Insurance | None | |||
| Idaho | ✓ | 19-member board of directors | |||
| Illinois | Illinois Department of Insurance | Advisory Committee* | |||
| Kentucky | Cabinet for Health and Family Services | Advisory committee* | |||
| Maine | Department of Health and Human Services | None | |||
| Maryland | ✓ | 9-member board of trustees | |||
| Massachusetts | ✓ | 11-member board of directors | |||
| Minnesota | ✓ | 7-member board of directors | |||
| Nevada | State agency within individual department | 10-member board of directors | |||
| New Jersey | New Jersey Department of Banking and Insurance | None | |||
| New Mexico | ✓ | 13-member board | |||
| New York | New York State Department of Health | Advisory committee* | |||
| Oregon | Oregon Health Authority | Advisory committee* | |||
| Pennsylvania | ✓ | 11-member board of directors | |||
| Rhode Island | Rhode Island Department of Administration | Advisory committee* | |||
| Vermont | Department of Vermont Health Access | None | |||
| Virginia | ✓1 | Advisory committee* | |||
| Washington | ✓ | 11-member board of directors |
*Unlike a board of directors, advisory committees do not oversee or govern the agency. They are typically made up of appointed members that represent a range of backgrounds and perspectives.
1 The Virginia Health Benefit Exchange is housed within the Virginia State Corporation Commission, which is an independent state agency.
