According to the article “Midwest States Getting $1M Each for Health Exchanges” found on InsuranceJournal.com, federal officials claim Illinois, Nebraska, South Dakota, and North Dakota will be getting $1 million each to assist the states establish health insurance exchanges.
These health insurance exchanges have been created by the federal government through the Affordable Care Act passed earlier this year. They are meant to create an easy way for consumers to shop for health insurance and are scheduled to be put in place by 2014.
The main goal of the health insurance exchange is to help individuals and small businesses create the same health insurance success found with bigger employers. They will also allow for those below certain income levels to obtain financial assistance and cost sharing reductions. The US Department of Health and Human Services is giving out about $49 million to assist the states to the necessary planning to start up the exchanges. The government is hoping for success by taking this route.