Since beginning our discussion on health reform, we've referenced the new health exchange system that will be established in every state by January of 2014. But what exactly are exchanges and what impact will they have on the healthcare system?

Health exchanges will provide an easy way for families and consumers to compare options and prices of different health insurance plans and to find the best deals based on quality and price. Each state has the option of creating its own insurance market or the option of taking part in a multi-state or regional exchange option run by a government agency. These multi-state exchanges will be required to offer at least two health plans that are available in at least two other states, ensuring that each provides the best plans for its residents. Last week, the Department of Health and Human Services announced that $51 million dollars will be available to aid states in creating these exchanges. Right now, it's unclear exactly how Arkansas will design the exchange. But there will remain plenty of competition among insurance companies and continued economic stimulation.

Perhaps the most important aspect of these exchanges is the value of one-stop shopping for consumers. All health plans within Arkansas, including Medicaid and ARKids, will be listed on a website operated by the state, but more traditional avenues of enrollment by phone or mail will remain available. States will also be required to make internet resources available for individuals without web access at home.

It will take time for these exchanges to come into effect. Until these exchanges open in 2014, a high-risk pool is now available in Arkansas and other states to cover the uninsured with pre-existing conditions. This is but another example of the many ways that health care reform will improve health care coverage and access for all Arkansans.

For more information, see The CCF Say Ahh! Blog or the Kaiser Family Foundation.