Quote:And the solution we came up with to that exact situation was to require the insurance company regardless of where they're located to cover diabetes even if the customer had diabetes before they bought the plan. So that eliminated the low cost insurance option for everyone across the board, and then once we ensured the price would sky rocket we made it illegal to not purchase it! Brilliant!

 

But the trouble is, if you allow a "low cost option" that doesn't cover certain conditions, then the policy that does cover certain conditions is bought only by the people with that condition, which makes it so expensive for an insurance company to offer it, that they have to price it to cover their cost, and that makes health insurance unaffordable for the people who actually need it.  

 

In the example of diabetes, if you offer a low cost plan that doesn't cover diabetes, then the only people who will buy the high cost plan will be the people who need it, the diabetics.   And the insurance companies would have to price the high cost plan so high it would be unaffordable, or else they would lose money and go out of business.    

 

The whole concept of insurance is shared risk.   I know libertarians think shared risk = socialism, but that's what insurance is- shared risk.   If healthy people don't buy health insurance, then insurance companies can not afford to offer a plan that anyone could afford to buy, because the policies would only be held by sick people. 

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