Brian Buetler: How the media is blowing the Obamacare rollout: Noted
Brian Buetler: How the media is blowing the Obamacare rollout:
The Obamacare model effectively enlists for-profit insurers to fulfill the function of state-based single-payer systems. It pools risk in the individual market across states, but allows several carriers to compete for enrollees. For a system like this to work, though, the companies themselves need to operate like public utilities. The Affordable Care Act takes important steps in this direction, but doesn't eliminate all of the private insurance market's worst incentives. This automatic retention strategy is just one manifestation. Let this be a reminder to the Democrats on Capitol Hill and in the White House who killed the public option. It could've been designed as a default plan for cancelees...
