Private Exchange

Learn more about this full-service solution for individuals to purchase health coverage through an online marketplace.

Alabama Health Insurance Exchange

Although the state of Alabama originally supported the implementation of a state-based health insurance exchange, it was announced November 2012 by Governor Robert Bentley that the state would instead run under a federal exchange. Beginning in 2014, the federal government will assume full responsibility for implementing and running an Alabama health insurance exchange.

Essential Health Benefits

Under the Affordable Care Act, all non-grandfathered individual and small-group plans must cover certain defined health benefits, or ‘essential health benefits’ (EHB). These benefits include: ambulatory patient services, emergency, hospitalization, maternity and newborn care, mental health, prescription drugs and more. Because Alabama did not submit a recommendation, the state’s benchmark EHB plan defaults to the largest small-group plan in the state.

Alabama Health Insurance Exchange Stats:

  • Total Residents: 4,727,000
  • Total Health Expenditures (in millions): $29,524
  • Exchange Decision: Default to Federal Exchange
  • Total Health Insurance Exchange Grant: $9,772,451
  • EHB Benchmark Plan Status: Default


The state of Alabama has defaulted to a federally-run health insurance exchange. It has also defaulted to the largest small-group plan in the state for the essential health benefits benchmark because of the absence of a recommendation.

For more information about setting up a private exchange solution in Alabama, contact a representative at GoHealth today.