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HHS and states move to establish Affordable Insurance Exchanges, give Americans the same insurance choices as members of Congress

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Recently, the U.S. Department of Health and Human Services (HHS) proposed a framework to assist states in building Affordable Insurance Exchanges, state-based competitive marketplaces where individuals and small businesses will be able to purchase affordable private health insurance and have the same insurance choices as members of Congress. Starting in 2014, Exchanges will make it easy for individuals and small businesses to compare health plans, get answers to questions, find out if they are eligible for tax credits for private insurance or health programs like the Children’s Health Insurance Program (CHIP), and enroll in a health plan that meets their needs.

These proposed rules set minimum standards for Exchanges, give states the flexibility they need to design Exchanges that best fit their unique insurance markets, and are consistent with steps states have already taken to move forward with Exchanges.

Forty-nine states, the District of Columbia and four territories accepted grants to help plan and operate Exchanges. In addition, over half of all states are taking additional action beyond receiving a planning grant such as passing legislation or taking Administrative action to begin building exchanges. States will continue to implement exchanges on different schedules through 2014.

Today’s proposals build on over a year’s worth of work with states, small businesses, consumers and health insurance plans and offer states substantial flexibility. For example, it allows states to decide whether their Exchanges should be local, regional, or operated by a non-profit organization, how to select plans to participate, and whether to partner with HHS to split up the work.

To continue that conversation, HHS is accepting public comment on the proposed rules over the next 75 days to learn from states, consumers, and other stakeholders how the rules can be improved and HHS will modify these proposals based on feedback from the American people.

The proposed regulations can be found at http://www.ofr.gov/(X(1)S(nkajqyiro13oelz2ffeeho3z))/OFRUpload/OFRData/2011-17610_PI.pdf and at http://www.ofr.gov/(X(1)S(nkajqyiro13oelz2ffeeho3z))/OFRUpload/OFRData/2011-17609_PI.pdf

For more information on Exchanges, including fact sheets, visit http://www.healthcare.gov/exchanges

To read the entire HHS Press Release issued today, visit
http://www.hhs.gov/news/press/2011pres/07/20110711a.html

 

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