Comments on: Another View: The Private Plans Might Drive the Public Plan Out of Business http://healthblog.ncpa.org/another-view-the-private-plans-might-drive-the-public-plan-out-of-business/ Health Care Policy and Reform Insights | NCPA Mon, 21 May 2012 13:04:39 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: John R. Graham http://healthblog.ncpa.org/another-view-the-private-plans-might-drive-the-public-plan-out-of-business/comment-page-1/#comment-43593 John R. Graham Wed, 01 Jul 2009 19:54:39 +0000 http://www.john-goodman-blog.com/?p=4066#comment-43593 I accept Mr. Starr's argument, but not his conclusion. We can see by the behavior of the private insurers, which are strongly resisting the government plan, that they do not think that they can dump expensive patients. Mr. Starr does not believe that the government plan is a "Trojan Horse". Well, that's his right. However, the lemon dropping that he describes would be manna from heaven for the single-payer extremists who want government monopoly. It would allow them to increase taxes on the private carriers to compensate, putting them into a death spiral and out of business. I accept Mr. Starr’s argument, but not his conclusion. We can see by the behavior of the private insurers, which are strongly resisting the government plan, that they do not think that they can dump expensive patients.

Mr. Starr does not believe that the government plan is a “Trojan Horse”. Well, that’s his right. However, the lemon dropping that he describes would be manna from heaven for the single-payer extremists who want government monopoly. It would allow them to increase taxes on the private carriers to compensate, putting them into a death spiral and out of business.

]]> By: Bart Ingles http://healthblog.ncpa.org/another-view-the-private-plans-might-drive-the-public-plan-out-of-business/comment-page-1/#comment-43589 Bart Ingles Wed, 01 Jul 2009 16:12:59 +0000 http://www.john-goodman-blog.com/?p=4066#comment-43589 I don't think lower provider fees would be enough to offset adverse selection. However I would be surprised if private insurers weren't forced into whatever risk adjustment scheme is used for the public option. I don't think employers will get out of ERISA or HIPAA regulations by virtue of purchasing through an exchange. I don’t think lower provider fees would be enough to offset adverse selection. However I would be surprised if private insurers weren’t forced into whatever risk adjustment scheme is used for the public option. I don’t think employers will get out of ERISA or HIPAA regulations by virtue of purchasing through an exchange.

]]> By: Tom H. http://healthblog.ncpa.org/another-view-the-private-plans-might-drive-the-public-plan-out-of-business/comment-page-1/#comment-43583 Tom H. Wed, 01 Jul 2009 15:36:02 +0000 http://www.john-goodman-blog.com/?p=4066#comment-43583 Agree with Ken. I'll bet on the government plan. Agree with Ken. I’ll bet on the government plan.

]]> By: Ken http://healthblog.ncpa.org/another-view-the-private-plans-might-drive-the-public-plan-out-of-business/comment-page-1/#comment-43580 Ken Wed, 01 Jul 2009 15:30:33 +0000 http://www.john-goodman-blog.com/?p=4066#comment-43580 Interesting point. However, I think the adverse selection could be offset by lower fees paid to providers. Interesting point. However, I think the adverse selection could be offset by lower fees paid to providers.

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