Assistance to States to establish American Health Benefit Exchanges
Planning and establishment grants
There shall be appropriated to the Secretary, out of any moneys in the Treasury not otherwise appropriated, an amount necessary to enable the Secretary to make awards, not later than 1 year after , to States in the amount specified in paragraph (2) for the uses described in paragraph (3).
Amount specified
For each fiscal year, the Secretary shall determine the total amount that the Secretary will make available to each State for grants under this subsection.
Use of funds
A State shall use amounts awarded under this subsection for activities (including planning activities) related to establishing an American Health Benefit Exchange, as described in subsection (b).
Renewability of grant
In general
Limitation
No grant shall be awarded under this subsection after .
Technical assistance to facilitate participation in SHOP Exchanges
The Secretary shall provide technical assistance to States to facilitate the participation of qualified small businesses in such States in SHOP Exchanges.
American Health Benefit Exchanges
In general
Merger of individual and SHOP Exchanges
A State may elect to provide only one Exchange in the State for providing both Exchange and SHOP Exchange services to both qualified individuals and qualified small employers, but only if the Exchange has adequate resources to assist such individuals and employers.
Responsibilities of the Secretary
In general
Rule of construction
Nothing in paragraph (1)(C) shall be construed to require a qualified health plan to contract with a provider described in such paragraph if such provider refuses to accept the generally applicable payment rates of such plan.
Rating system
The Secretary shall develop a rating system that would rate qualified health plans offered through an Exchange in each benefits level on the basis of the relative quality and price. The Exchange shall include the quality rating in the information provided to individuals and employers through the Internet portal established under paragraph (4).
Enrollee satisfaction system
The Secretary shall develop an enrollee satisfaction survey system that would evaluate the level of enrollee satisfaction with qualified health plans offered through an Exchange, for each such qualified health plan that had more than 500 enrollees in the previous year. The Exchange shall include enrollee satisfaction information in the information provided to individuals and employers through the Internet portal established under paragraph (5) in a manner that allows individuals to easily compare enrollee satisfaction levels between comparable plans.
Internet portals
Enrollment periods
Reenrollment of certain individuals in qualified health plans in certain exchanges
In general
Individual described
Requirements
In general
An Exchange shall be a governmental agency or nonprofit entity that is established by a State.
Offering of coverage
In general
An Exchange shall make available qualified health plans to qualified individuals and qualified employers.
Limitation
In general
An Exchange may not make available any health plan that is not a qualified health plan.
Offering of stand-alone dental benefits
section 9832(c)(2)(A) of title 26section 18022(b)(1)(J) of this titleEach Exchange within a State shall allow an issuer of a plan that only provides limited scope dental benefits meeting the requirements of to offer the plan through the Exchange (either separately or in conjunction with a qualified health plan) if the plan provides pediatric dental benefits meeting the requirements of ).
Rules relating to additional required benefits
In general
section 18022(b) of this titleExcept as provided in subparagraph (B), an Exchange may make available a qualified health plan notwithstanding any provision of law that may require benefits other than the essential health benefits specified under .
States may require additional benefits
In general
section 18022(b) of this titleSubject to the requirements of clause (ii), a State may require that a qualified health plan offered in such State offer benefits in addition to the essential health benefits specified under .
State must assume cost
Functions
Funding limitations
No Federal funds for continued operations
In establishing an Exchange under this section, the State shall ensure that such Exchange is self-sustaining beginning on , including allowing the Exchange to charge assessments or user fees to participating health insurance issuers, or to otherwise generate funding, to support its operations.
Prohibiting wasteful use of funds
In carrying out activities under this subsection, an Exchange shall not utilize any funds intended for the administrative and operational expenses of the Exchange for staff retreats, promotional giveaways, excessive executive compensation, or promotion of Federal or State legislative and regulatory modifications.
Consultation
Publication of costs
An Exchange shall publish the average costs of licensing, regulatory fees, and any other payments required by the Exchange, and the administrative costs of such Exchange, on an Internet website to educate consumers on such costs. Such information shall also include monies lost to waste, fraud, and abuse.
Certification
In general
Premium considerations
42 U.S.C. 300gg–94(b)(1)The Exchange shall require health plans seeking certification as qualified health plans to submit a justification for any premium increase prior to implementation of the increase. Such plans shall prominently post such information on their websites. The Exchange shall take this information, and the information and the recommendations provided to the Exchange by the State under section 2794(b)(1) of the Public Health Service Act [] (relating to patterns or practices of excessive or unjustified premium increases), into consideration when determining whether to make such health plan available through the Exchange. The Exchange shall take into account any excess of premium growth outside the Exchange as compared to the rate of such growth inside the Exchange, including information reported by the States.
Transparency in coverage
In general
Use of plain language
The information required to be submitted under subparagraph (A) shall be provided in plain language. The term “plain language” means language that the intended audience, including individuals with limited English proficiency, can readily understand and use because that language is concise, well-organized, and follows other best practices of plain language writing. The Secretary and the Secretary of Labor shall jointly develop and issue guidance on best practices of plain language writing.
Cost sharing transparency
The Exchange shall require health plans seeking certification as qualified health plans to permit individuals to learn the amount of cost-sharing (including deductibles, copayments, and coinsurance) under the individual’s plan or coverage that the individual would be responsible for paying with respect to the furnishing of a specific item or service by a participating provider in a timely manner upon the request of the individual. At a minimum, such information shall be made available to such individual through an Internet website and such other means for individuals without access to the Internet.
Group health plans
The Secretary of Labor shall update and harmonize the Secretary’s rules concerning the accurate and timely disclosure to participants by group health plans of plan disclosure, plan terms and conditions, and periodic financial disclosure with the standards established by the Secretary under subparagraph (A).
Flexibility
Regional or other interstate exchanges
Subsidiary Exchanges
Authority to contract
In general
A State may elect to authorize an Exchange established by the State under this section to enter into an agreement with an eligible entity to carry out 1 or more responsibilities of the Exchange.
Eligible entity
Rewarding quality through market-based incentives
Strategy described
Guidelines
The Secretary, in consultation with experts in health care quality and stakeholders, shall develop guidelines concerning the matters described in paragraph (1).
Requirements
The guidelines developed under paragraph (2) shall require the periodic reporting to the applicable Exchange of the activities that a qualified health plan has conducted to implement a strategy described in paragraph (1).
Quality improvement
Enhancing patient safety
Exceptions
The Secretary may establish reasonable exceptions to the requirements described in paragraph (1).
Adjustment
The Secretary may by regulation adjust the number of beds described in paragraph (1)(A).
Navigators
In general
An Exchange shall establish a program under which it awards grants to entities described in paragraph (2) to carry out the duties described in paragraph (3).
Eligibility
In general
To be eligible to receive a grant under paragraph (1), an entity shall demonstrate to the Exchange involved that the entity has existing relationships, or could readily establish relationships, with employers and employees, consumers (including uninsured and underinsured consumers), or self-employed individuals likely to be qualified to enroll in a qualified health plan.
Types
Duties
Standards
In general
Fair and impartial information and services
The Secretary, in collaboration with States, shall develop standards to ensure that information made available by navigators is fair, accurate, and impartial.
Funding
Grants under this subsection shall be made from the operational funds of the Exchange and not Federal funds received by the State to establish the Exchange.
Applicability of mental health parity
42 U.S.C. 300gg–26Section 2726 of the Public Health Service Act [] shall apply to qualified health plans in the same manner and to the same extent as such section applies to health insurance issuers and group health plans.
Conflict
An Exchange may not establish rules that conflict with or prevent the application of regulations promulgated by the Secretary under this subchapter.
Pub. L. 111–148, title I, § 1311124 Stat. 173Pub. L. 116–94, div. N, title I, § 608133 Stat. 3130(, title X, §§ 10104(e)–(h), 10203(a), , , 900, 901, 927; , , .)
Editorial Notes
References in Text
Pub. L. 111–148124 Stat. 130section 300gg–11 of this titlesection 300gg of this titlesection 300gg–3 of this titlesection 300gg of this titleSubtitles A and C, referred to in subsec. (a)(4)(A)(i)(II), are subtitles A (§§ 1001–1004) and C (§§ 1201–1255), respectively, of title I of , , , 154. Subtitle A enacted sections 300gg–11 to 300gg–19, 300gg–93, and 300gg–94 of this title, transferred sections 300gg–4 to 300gg–7 and 300gg–13 of this title to sections 300gg–25 to 300gg–28 and 300gg–9 of this title, respectively, amended sections 300gg–11, 300gg–12, and 300gg–21 to 300gg–23 of this title, and enacted provisions set out as a note under . Subtitle C enacted subchapter II of this chapter and sections 300gg to 300gg–2 and 300gg–4 to 300gg–7 of this title, transferred to , amended sections 300gg–1 and 300gg–4 of this title, and enacted provisions set out as a note under . For complete classification of subtitles A and C to the Code, see Tables.
Pub. L. 111–148124 Stat. 130This title, referred to in subsecs. (b)(1) and (e)(3)(A)(viii), is title I of , , , which enacted this chapter and enacted, amended, and transferred numerous other sections and notes in the Code. For complete classification of title I to the Code, see Tables.
section 300gg–15 of this titlesection 300gg–16 of this titleSection 2716 of the Public Health Service Act, referred to in subsec. (c)(5), probably should be section 2715 of the Public Health Service Act, act , which is classified to and requires the Secretary to develop a uniform explanation of coverage documents and standardized definitions. Section 2716 of act , which is classified to , relates to prohibition on discrimination in favor of highly compensated individuals.
act Aug. 14, 1935, ch. 53149 Stat. 620section 1305 of this titleThe Social Security Act, referred to in subsecs. (c)(6)(C), (d)(4)(F), and (f)(3)(B)(ii), is , . Part D of title XVIII of the Act is classified generally to part D (§ 1395w–101 et seq.) of subchapter XVIII of chapter 7 of this title. Titles XIX and XXI of the Act are classified generally to subchapters XIX (§ 1396 et seq.) and XXI (§ 1397aa et seq.), respectively, of chapter 7 of this title. For complete classification of this Act to the Code, see and Tables.
act July 1, 1944, ch. 37358 Stat. 682section 201 of this titleThe Public Health Service Act, referred to in subsec. (h)(1)(A)(i), is , . Part C of title IX of the Act is classified generally to part C (§ 299b–21 et seq.) of subchapter VII of chapter 6A of this title. For complete classification of this Act to the Code, see Short Title note set out under and Tables.
Pub. L. 111–148124 Stat. 162This subchapter, referred to in subsec. (k), was in the original “this subtitle”, meaning subtitle D of title I of , , , which enacted this subchapter and amended sections 501, 4958, and 6033 of Title 26, Internal Revenue Code.
Amendments
Pub. L. 116–942019—Subsec. (c)(7). added par. (7).
Pub. L. 111–148, § 10203(a)2010—Subsec. (c)(1)(I). , added subpar. (I).
Pub. L. 111–148, § 10104(e)(1)section 36B of title 26section 18071 of this titlesection 36B(b)(3)(D) of title 26section 18071(c)(4) of this titleSubsec. (d)(3)(B)(ii). , added cl. (ii) and struck out former cl. (ii). Prior to amendment, text read as follows: “A State shall make payments to or on behalf of an individual eligible for the premium tax credit under and any cost-sharing reduction under to defray the cost to the individual of any additional benefits described in clause (i) which are not eligible for such credit or reduction under and .”
Pub. L. 111–148, § 10104(e)(2)Subsec. (d)(6)(A). , inserted “educated” before “health care”.
Pub. L. 111–148, § 10104(f)(1)Subsec. (e)(2). , which directed substitution of “shall” for “may” in second sentence, was executed by making the substitution in third sentence before “take” to reflect the probable intent of Congress because the word “shall” already appeared in second sentence.
Pub. L. 111–148, § 10104(f)(2)Subsec. (e)(3). , added par. (3).
Pub. L. 111–148, § 10104(g)Subsec. (g)(1)(E). , added subpar. (E).
Pub. L. 111–148, § 10104(h)Subsec. (i)(2)(B). , substituted “resource partners of the Small Business Administration” for “small business development centers”.
Statutory Notes and Related Subsidiaries
Establishing a Grant Program for Exchange Modernization
Pub. L. 117–2, title II, § 2801135 Stat. 49