Can You Buy Out Of State Health Insurance? 
No . Major medical insurance is controlled at the state level . For this reason you must purchase major medical insurance from an insurance carrier approved in your state of residence . With the most recent stage of implementation of the Affordable Care Act on January 1 , 2014 this has often resulted in stark contrasts in the cost of individual and small group health insurance depending upon which side of the state line a person or business is domiciled . As an agent in Memphis , Tennessee I can assure you that there are lots of people in Arkansas and Mississippi who wish they could purchase individual health insurance in Tennessee . The cost differences -LRB- which always varied from state to state -RRB- are now substantially different and higher for the residents of Arkansas and Mississippi . That 's not to say health insurance costs are n't higher in Tennessee in 2014 but they did go up far less than in surrounding states . You may have been confused by some politicians talking about allowing the purchase of health insurance policies across state lines . However , this is not how the Affordable Care Act is currently structured . While this idea sounds great on the face of it , it is neither practical nor a real solution for the cost problems individuals and small businesses are being presented with . All health care is local and just as the cost of living and real estate prices are vastly different from New York City to Omaha , Nebraska , the same is true of health care and the health insurance plans tied to it in a given geographic area . 