Creates state-based American Health Benefit Exchanges and Small Business Health Options Program (SHOP) Exchanges, administered by a governmental agency or non-profit organization, through which individuals and small businesses with up to 100 employees can purchase qualified coverage. Exchanges will have a single form for applying for health programs, including coverage through the Exchanges and Medicaid and CHIP programs.
Implementation: January 1, 2014
Implementation update: On July 11, 2011, HHS issued two proposed rules on the health insurance exchanges. The first rule detailed the specifics of how states may set up their exchanges, while the second rule focused on the standards related to risk adjustment, risk corridors and reinsurance provisions.
On August 17, 2011, HHS, the Department of the Treasury and the Department of Labor issued three proposed regulations regarding the exchanges, including a rule that expands and simplifies Medicaid eligibility and promotes a system that coordinates coverage between Medicaid and the exchanges, a rule that provides standards for determining eligibility and calculating advance payments for the premium tax credits, and a rule that proposes standards and systems for applying for and enrolling in the insurance plans in the exchanges. On May 16, 2012, HHS issued guidance for Federally-facilitated Exchanges (FFE), which will be run by HHS in states that have not established an exchange or have selected to run a Partnership exchange. Also on August 14, 2012, HHS issued a Blueprint that states must submit to HHS by November 16, 2012 if they wish to operate a state-based exchange or a Partnership exchange. On November 15, HHS extended the deadline for submitting a blueprint for a state-based exchange to December 14, 2012. It also extended the deadline for submitting a state-federal partnership exchange blueprint to February 13, 2013.
Learn more: Where are states in establishing and implementing their health insurance exchanges? Track state actions with the Exchange Monitor on Statehealthfacts.org.