Saturday, September 19, 2009

INSURANCE EXCHANGE RISKS

In an earlier post, I suggested that the health insurance exchanges proposed by President Obama which I agreed could be a good idea if the government would limit its role to writing the law allowing them to be created.

Regina Herzlinger, a professor at the Harvard Business School, adds detail to my concern, using the Massachusetts government exchange, the Connector, as Exhibit A.

I’d like to believe that the health insurance exchange concept would work, provided that exchanges are entirely private, have national reach, and enjoy the same tax status as employer-sponsored plans.

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