In 2014, every state will be required to set up online health care exchanges to help people (small business owners included) find, shop, and enroll in health plans that fit their needs. Massachusetts will help lead the way in the design and develop of such exchanges for States across the country, creating a one-stop-shop that makes purchasing health insurance more consumer friendly, seamless and understandable.

According to a press release this morning, the University of Massachusetts Medical School and the Massachusetts Executive Office of Health and Human Services are recipients of a $35.6M federal grant to develop the exchange. A resource for consumers and small business owners alike, the organizations plan to work together to create a “sophisticated, consumer-friendly technology infrastructure.”

Massachusetts is one of just seven states the U.S. Department of Health and Human Services (HHS) has deemed “early innovator states” to receive grants as the nation prepares for implementation of health care reform. After successful completion of the exchange (set to be completed by 2013), other states can adopt and tailor for their own state — not to mention take lessons learned from the process in Massachusetts and apply them as best practices.

“Health care reform means that consumers will be more directly involved in health care decisions, starting with the purchase of their insurance coverage,” said Michael F. Collins, MD, UMMS Chancellor and University Senior Vice President for the Health Sciences. “UMass Medical School is uniquely positioned to play a key role in this process. Our Commonwealth Medicine division has been an important partner with the state over the past decade in creating and implementing health care policy.”

Massachusetts was selected based on its readiness to develop exchanges, given its Massachusetts Health Connector portal already developed since the passing of our own health care reform act in 2006.

The University of Massachusetts Medical School, one of the fastest growing academic health centers in the country, was also selected given its reputation as a world-class research institution. The School attracts more than $255 million annually in research funding (80 percent of which comes from federal sources).

“We want to make the shopping experience for individuals and small businesses as customer friendly and efficient as possible,” said Jay S. Himmelstein, MD, MPH, professor of family medicine & community health and medicine and director of Public Sector Health Information Technology Policy.