Insurers in states with the most concentrated markets have also been subject to the least oversight, according to a study published by David Balto at the Center for American Progress, a left-leaning think tank.
State regulatory authorities haven’t brought any consumer protection suits against insurance companies in the last five years, according to Balto’s report, citing states such as Rhode Island, Alabama, Maine. According to this map published today on CAP’s website, the top insurer controls 71% of the market in Rhode Island, 89% in Alabama, and 71% in Maine.
As Congress debates health care reform, Democrats have seized on a decades-old exemption from federal antitrust regulation that the insurance industry enjoys as one reason some insurers maintain near monopolies in individual states. While the merits of that argument are debatable, the CAP study asks whether states have the resources to enforce antitrust laws or if they are stretched too thin.
The study cites Georgetown health policy professor Karen Pollitz’s recent comments to Congress: In four states, the Insurance Commissioner is also the fire marshal.
Sen Patrick Leahy (D-Vt.) used the study to reiterate his support for a repeal of the antitrust exemption for health and medical malpractice insurers. “If we remove it,they will have to compete,” Leahy said in a conference call today with reporters.
Leahy, along with Sen. Dianne Feinstein (D-Calif.) and Senate Majority Leader Harry Reid (D-Nev.) plan to offer the repeal as an amendment to the health care bill.
The GOP is a wholly owned subsidiary of Corporate America.
The fact remains that big insurance by refusing care to patients and reimbursement to doctors over typos has ticked everyone off. They have a monopoly over the whole process and a well financed lobby team (including Lieberman’s wife) and representatives on both sides of the isle.
A friend of mine recently laid off just he and his spouse is paying $2,500.00 dollars a month for his COBRA. Health insurance costs more than his mortgage. Anyone taking up the insurance industry’s cause doesn’t know what they are talking about.
If you think the insurance companies are going to voluntarily lower their cost while having a monopoly over the process – you are being disingenuous …Over 60% of all US bankruptcies are attributable to medical problems. Most victims are middle class, well educated and have health insurance – (The American Journal of Medicine)
The insurance companies and their representatives in Congress would love to perpetuate a business model that is crippling our overall economy – a bunch of great Americans aren’t they?
90% of the wealth concentrated in 1% of the population is no way to run a country but a heck of a way to establish a royalty ruling class. Yacht sales can not sustain 350 million people. I’m for the public option, competition and a level playing field or break up the big insurers like we did AT&T.
Paul Burke
Author-Journey Home
[...] four states, the Insurance Commissioner is also the fire marshal.” Sen. Patrick Leahy (D-Vt.) used the study to reiterate his support for a repeal of the antitrust exemption for health and medic…. “If we remove it, they will have to compete,” Leahy said in a conference call with [...]