The Health & Human Services Department released $51 million in grants for states"up to $1 million per state"to help them begin to develop health insurance exchanges that would let consumers shop for health insurance online.
The exchanges, called for the health reform law, will make purchasing health insurance easier by providing eligible persons and small businesses "one-stop-shopping" for comparing and purchasing health insurance coverage, said HHS Secretary Kathleen Sebelius in announcing the funds July 29.
This first round of grants will give states help to conduct the research and planning needed to build a health insurance marketplace and determine how their exchanges will be operated and governed.
The Affordable Care Act authorized grants to the states to help them design and establish exchanges in time for millions of individuals and small businesses to choose their coverage for 2014.
HHS also asked for public comment on developing rules and standards for the exchanges. The agency wants information on coordinating eligibility and enrollment among Medicaid and the Children's Health Insurance Program; data sharing states are already capable of; as well as criteria to determine a state's progress establishing an exchange.
Each state has the option to establish and operate its own exchange or partner with another state or states to operate a regional insurance exchange. If a state decides not create an exchange for its residents, HHS will help establish one on their behalf, Sebelius said.
"We are working hand-in-hand with states as we carefully implement the exchanges to make sure they best meet people's health insurance needs," she said.
Earlier this month, HHS launched a Web portal through which individuals and small businesses can obtain information about affordable insurance coverage options in their state. Currently, the Web site offers summary information about health insurance options, including types of services, provider networks, contact phone numbers and Web site links.
Over time, HHS will add other data to help consumers make insurance coverage decisions, such as quality and performance information, medical loss ratios, links to Web site of associations representing state health benefits high-risk pools.
A second release of the portal Oct. 1 will present detailed information about eligibility, pricing and benefits once pricing engines are incorporated into the Web portal.
Grant applications are due by Sept. 1, and comments are accepted until Oct. 4. More information is at available at http://www.healthcare.gov/center .
