Question

Under the Affordable Care Act, there are provisions that say that policies sold to individuals in the state marketplaces (e.g. or covered california) may not be based on health status, but may be set based on age and smoking status

A. True
B. False

Answer 1

The statement that policies sold in the state marketplaces may not be based on health status, but may be set based on age and smoking status under the Affordable Care Act is true.

Step-by-step explanation:

Under the Affordable Care Act (ACA), commonly known as Obamacare, insurance policies sold to individuals through state marketplaces must adhere to specific rules regarding pricing. These regulations stipulate that insurers cannot base premiums on health status, which helps to mitigate issues related to adverse selection. Instead, they are allowed to adjust pricing based on age and smoking status. Therefore, the statement that policies sold in the state marketplaces may not be based on health status, but may be set based on age and smoking status, is True.