The Health and Human Services Department conditionally approved Illinois to operate a state partnership exchange Wednesday.

A partnership agreement is just one of three options for states. Exchanges can be run by individual states, by the federal government or by a combination of the two under an arrangement—the state partnership exchange. The state partnership exchange model is an option provided to states that want to manage part of the exchange in 2014.

HHS says a partnership exchange allows states to make key decisions and tailor the marketplace to local needs and market conditions.

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