RI to get over $5M federal health care grant

May 23, 2011

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PROVIDENCE, R.I.—Rhode Island is set to receive a $5.2 million federal grant to set up a system in the state that will allow residents to shop for health insurance online.

The Department of Health and Human Services grant is part of President Barack Obama's landmark health care plan. Last year, the Ocean State received a $1 million grant to start setting up the online insurance exchange.

Rhode Island's congressional delegation announced the grant Monday as Gov. Lincoln Chafee (CHAY'-fee) said he hoped the grant would help make Rhode Island a leader in putting Obama's health care plan to use.

The delegation said in a joint statement the system will allow consumers and small businesses to compare health insurance options side by side. They say that competition will drive down insurance costs.