Why allowing health insurance to be sold across state lines is no panacea : AVI FRISCH

A few of the ideas offered by Republicans to reform the health care that the health insurers to sell plans at, health care , national level without taking into account national borders or state regulation.As Rep. Charles Boustany (R-La.) put it in his reply to President last week: "I and many other Republicans think this will be a real choice and competition to lower the cost of health insurance to offer." This idea Republican imagine some problems in the health insurance market. One, the common lack of competition within given states.New Jersey, Governor Corzine heard me speak, a company that has 65 percent of the market to date. In some countries as much as 85 percent of the insurance market is controlled by a carrier. Another problem is that costs vary greatly from state to state, with interstate competition and probably would somehow (magically) to enable the lowest cost insurance to conduct a state and reducing prices.Taking this suggestion at face value, it seems some worth. So what's the problem? Delaware, few Delaware.Why I turn to Delaware? Because Delaware, placing it in births and the State of origin of many of the most usurious interest credit card issuers, manages to ratchet, health care , down the, health care ,, health care , quality of what she has done touches.How to get that way? A little history is called for.In company, Delaware has systematically forced down standards of corporate governance to attract creations and taxes and fees, health care , that accompany them. This works to the detriment of the shareholders that own, but do not manage the business, by allowing CEO's and, health care , boards a free hand to manage companies in their interest.Delaware (along with South Dakota) has also systematically destroyed restrictions on usury credit cards. Loose laws allowing banks in, health care , both countries impose legally operate from those countries, but everywhere loans charge extremely high interest rates without fear of exorbitant laws.Similarly, Delaware, or an opportunistic state health insurance would undoubtedly enact laws under the proposed reform of Congressman Boustany, thus the worst sickness main supply available for almost everyone in the private insurance in all states. This means that not only the individual states lose the ability to regulate health insurance, but the power to determine insurance rates will, health care , then be given to that country with the most Craven interest in attracting the tax dollars, regardless of how the public compromised. Of course, hardly anyone would think that insurance companies will work better, health care , in those days without serious regulation, health care , which we are still recovering from an economic crisis caused by unregulated banks and insurers as may be better AIG.So Congressman Boustany to federal regulation of insurance , thus avoiding a race to the bottom.If for a national regulation, health care , of insurance, each country must be able to protect its, health care , citizens as it sees fit. New Jersey has decided that the bare bones insurance policies are not good for the people of the state and the mandates of the length of stay for women after childbirth, the coverage of mammography and autism support.These mandates cost money, but came as result of people discovering just not that, health care , expensive policies cover services they were expected to fall,, health care , health care , as they paid their premiums, health care , .Allowing out-of-state insurers in New Jersey are subject only to regulation of their homeland, health care , will lead to virtually all plans offered by insurers are exempt from local market will force regulation.The detailed policies offered by insurers and then New Jersey is the only plan available from Delaware (or equivalent health), as insurance companies will settle to benefit favorable arrangements.