David Weinstein, Health Insurance Expert, Announces Impact of State-Sponsored Insurance Exchanges
With new laws and regulations the impact of state-sponsored insurance exchanges will be enormous
Cherry Hill, N.J., March 21, 2012 /PRNewswire/ -- David Weinstein, Cherry Hill, NJ, insurance expert with over 25 years of experience, has been watching the implementation of state-sponsored insurance exchanges with interest. As a result of this close monitoring, he recently announced a flaw in the system that he'll be covering extensively in his personal writing.
"I keep a variety of blogs, and I'm constantly asked to write articles for media outlets and journals," says David Weinstein. "Health insurance is a hot topic, and I have extensive experience I can share that can help explain difficult topics. I'll be discussing this particular finding in-depth quite soon, but I thought it best to release it to the general public first."
This announcement is as follows: David Weinstein of Cherry Hill, NJ, believes that the state-sponsored system of health insurance exchanges will result in increased inefficiencies and decreased competition. This will lead to increased costs.
"The way the exchanges are designed right now is incredibly inefficient," says David Weinstein of Cherry Hill, NJ. "Insurance plans don't cross state lines. Competition would drive down health insurance costs, but since insurance plans don't compete across state lines, that competition is extremely limited."
Put another way, the current model pits insurance plans that provide coverage in the same state against one another. But, the current model doesn't ask insurance plans in neighboring states to compete. This could mean that insurance plans in specific parts of the country will be much more expensive than insurance plans provided in other parts of the country. And the competition pool is quite small, which could mean that the results of that competition could be negligible at best.
While this situation is certainly regrettable, David Weinstein of Cherry Hill, NJ, certainly understands how it came about.
"States have control over health insurance mandates," he says. "If the government imposed one system for health care exchanges, the states would lose that control, and many states would be simply infuriated at what they considered governmental overreach. So the decision is, in essence, political. We're sacrificing efficiency for politics."
As mentioned, David Weinstein of Cherry Hill, NJ, plans to discuss the topic extensively in his writings and interview opportunities.
"I'd like to get the word out there, and inform as many people as I can," says David Weinstein of Cherry Hill, NJ. "This issue impacts everyone who pays taxes in this country, and if we all speak up, perhaps we can get this legislation changed so we can all save money."
SOURCE David Weinstein
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