Federal officials have announced that Nebraska and the Dakotas will be granted with a sum of over $1 million that would be diverted to the welfare of the residents. The fund would assist the states in developing a robust health insurance exchange.

The exchanges formed under the federal Affordable Care Act relate to one-stop shopping using which people can have an easy access to health insurance coverage. As per the reports, they are slated to take their effect by 2014.

The main aim of these exchanges is to assist individuals and small firms conglomerate in a view to form a huge health care purchasing power. Besides, those below certain income levels will be facilitated with the required financial assistance by granting them subsidized tax and a spate of cost-sharing reductions. If these things go well on track, it would surely make health insurance a much affordable affair.

"Developing a high-risk program was one of the first steps of dividing up the state and federal responsibilities for health reform", posted Molly Droge, MD, chair of the AAP's Committee on State and Government Affairs.

The states will now have a chance to operate their personal exchanges. However, in case the states are not able to manage their exchanges, the department has promised to develop new exchange to operate in that state.