Health insurance exchanges get new funding source

Health and Human Services (HHS) Secretary Kathleen Sebelius has announced a new funding opportunity for grants to help states work to implement health insurance exchanges.

Health insurance exchanges will bring new transparency to the market so that consumers will be able to compare plans based on price and quality, according to HHS’s statement.

The exchange establishment grants announced recognize that states are making progress toward establishing exchanges but doing so at different paces. States that are moving ahead on a faster pace can apply for multi-year funding. States that are making progress in establishing their exchange through a step-by-step approach can apply for funding for each project year. Moving forward, states will have multiple opportunities to apply for funding as they progress through exchange establishment, HHS reported.

States can use the exchange establishment grants for a number of different activities including conducting background research, consulting with stakeholders, making legislative and regulatory changes, governing the exchange, establishing information technology systems, conducting financial management and performing oversight and ensuring program integrity.

The exchange establishment funding announcement can be found at www.grants.gov.

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