The only real reason states do not allow selling insurance across state lines is that they benefit by taking in surcharges and permits and the like on what they control. Many states have only two or three insurance companies licensed to sell insurance in their states. But there is a strong argument that the barriers should come down, thereby expanding choice, increasing competition, lowering cost (and thus covering more people), and also enabling people who move to take their insurance with them more easily . . . but that involves other issues. If they would allow small businesses, including those who have only a handful of employees, to pool together to form groups, then that, too would increase coverage for those without. Almost everyone would then have access. Since group insurance cannot discriminate against those with pre-existing conditions, it takes care of that problem for most people, too. And since insurance companies would benefit from all this, Congress, as a trade-off, could simply ban them form engaging in such discrimination even for those purchasing individual coverage. The Republicans tried to pass this group approach some years ago and the Dems blocked it, because what they want is European-style socialized medicine, with everyone beholden to the IRS.
Call me naive, but in this discussion I don’t see why Health ins should be any different from auto or home ins.
Cases in point:
- in the last 4 years the roof our house has been totaled by hail. So, I call our ins, they send out an adjuster, I get a check in the mail for 1/2 or 2/3rds the amount. With the money, I shop for the best roofing deal I can get. Once the work is complete, I send in receipts - they send me another check for the difference.
- My car gets a ding. My ins. cuts me a check. I find a shop that will do the work to my satisfaction for 2/3rds the cost.
- The birth of my last child cost my ins. ~10K. The delivery was uneventful, my wife is home on the 3rd day.
Curiosities:
- It seems I hear about a half-dozen time a week how Geico can save me 15% in 15 minutes.
- I don’t know of if lasik eye surgery is covered by any ins., but it seems to me that I could shop around and get it done for ~$1500 an eye.
Both my home and auto insurance companies are nation-wide carriers.
It seems reasonable to me that I could provide proof to my insurance company as to my wifes pregnancy, get a percentage up front, and then get the balance upon completion of “the work”. You can’t tell me that if we shopped around we couldn’t find a Dr/mid-wife who could provide “reasonable” care delivery a child for less than $10k.
I’ve got a skin “condition” that should probably looked at. It seems reasonable that I should be able to get an “estimate” and work with my carrier to get the work done as cheaply as I am able.
Sorry to ramble - in a time crunch this PM...