About 500,000 people living and working in Mississippi are without health insurance. With 125,000 Magnolia-state residents employed by small businesses, it just makes sense to help those who can help themselves.

Governor Haley Barbour has a plan. “We need more people to have health insurance,” he said. “The biggest impediment is the cost.”

His new Mississippi Health Insurance Exchange would allow small business owners to join resources, take advantage of existing federal and state tax credits, and ultimately save bundles by having the plan administered by the state. The end result being affordable health-care rates for everyone involved.

The best thing about Barbour’s new plan benefits both employers and employees. If the company you work for can only afford to buy a percentage of the coverage, employees might have to assist with their own contributions – but both sides can still have the benefit of federal and state tax breaks.

First, though, the Legislature must approve and provide the preliminary funding necessary to set up and oversee the plan. After that, all administrative costs would be paid for by a portion of the funds paid into the plan itself.

“Never forget most people in Mississippi work for small businesses,” says Barbour. “This makes it easier for them to create jobs.”

Why didn’t someone think of this before?