Why in the world would they leave the state? The bill forces everyone to buy their product or face penalties.
How long do you think it's going to be until MA starts trying to completely dictate what they can charge and what they have to cover?
The state is also going to limit what insurance companies charge, and force them to pay unaffordable benefits -- if these rules aren't in the law now, they soon will be put into law.
As private insurers flee, the government will step in to fill the void -- with more pain to long-suffering taxpayers, and rationing for citizens. It'll be a mess.
If you have any doubt about why they would leave the state, just look at MA's previous experience under its mandatory auto insurance laws -- under which drivers were required to have insurance, insurance companies were required to underwrite policies for any licensed driver, and the state imposed limits on how much the insurance companies could charge for these policies.
Insurance companies fled MA like white farmers fleeing Zimbabwe.
It would seem that way, wouldn't it? The main problem with this logic is that if everyone is required to buy the coverage, there will be a significant number of applicants with serious preexisting conditions. The insurance companies are currently allowed to reject these applicants. In the face of this kind of legislation, there will be pressure to guarantee the issuance of policies without any regard to insurability.
No insurance company will want to stay in a state that requires them to insure any person at a state controlled price regardless of health. If this legislation happens, it is merely a matter of time for this state.