Thursday, July 18, 2024
Hawai'i Free Press

Current Articles | Archives

Monday, February 18, 2013
Health Insurance Exchanges Create State Problems
By NCPA @ 2:41 PM :: 4813 Views :: Health Care

Health Insurance Exchanges Create State Problems

NCPA February 18, 2013

Opposition to state-based health insurance exchanges may be politically convenient in the short term but in the long-term, opposition should rely on a sounder theoretical basis, says Tom Miller, a resident fellow at the American Enterprise Institute.

  • Exchange opponents should root themselves in the fundamentals of choice and free-market competition.
  • Under the Affordable Care Act (ACA), regulatory control of the health insurance market is expanded, which facilitates substantial income redistribution through new taxes and subsidies.
  • The mandate also invokes greater voter loyalty from constituencies who are increasingly reliant on the government to provide health care.

The costs and complexities involved with implementing the state-based health exchanges kept many governors from embracing the new system, which will limit competition from private-market alternatives. The exchanges create the appearance of private-sector delivery but instead create politically favored monopolies.

  • Despite hundreds of pages of regulations, Miller expresses skepticism that exchanges will be free of deceptive marketing, untested mechanisms and unchecked bureaucratic discretion.
  • The Obama administration has reiterated that it will be able to install exchanges in the states unwilling to establish their own.
  • There are doubts about whether federally-created exchanges will be able to track data, handle payments or provide adequate customer service after 2014.

Miller makes three recommendations for those states that oppose the exchanges and for those states that do not want to take the blame when poorly-administered federal exchanges impact their citizens.

  • States should initiate litigation that challenges the Internal Revenue Service's ability to distribute the ACA's premium assistance tax credits to enrollees.
  • States should insist that rulemaking for ACA exchanges operate through more formal and final legal channels.
  • States should refuse to be tax-collecting branch offices for the federal welfare state's new insurance mandate.

Source: Tom Miller, "Bumpy Rise Ahead for Insurance Markets," The Hill, February 12, 2013.


TEXT "follow HawaiiFreePress" to 40404

Register to Vote


Aloha Pregnancy Care Center


Antonio Gramsci Reading List

A Place for Women in Waipio

Ballotpedia Hawaii

Broken Trust

Build More Hawaiian Homes Working Group

Christian Homeschoolers of Hawaii

Cliff Slater's Second Opinion

DVids Hawaii


Fix Oahu!

Frontline: The Fixers

Genetic Literacy Project

Grassroot Institute

Hawaii Aquarium Fish Report

Hawaii Aviation Preservation Society

Hawaii Catholic TV

Hawaii Christian Coalition

Hawaii Cigar Association

Hawaii ConCon Info

Hawaii Debt Clock

Hawaii Defense Foundation

Hawaii Family Forum

Hawaii Farmers and Ranchers United

Hawaii Farmer's Daughter

Hawaii Federation of Republican Women

Hawaii History Blog

Hawaii Jihadi Trial

Hawaii Legal News

Hawaii Legal Short-Term Rental Alliance

Hawaii Matters

Hawaii Military History

Hawaii's Partnership for Appropriate & Compassionate Care

Hawaii Public Charter School Network

Hawaii Rifle Association

Hawaii Shippers Council

Hawaii Together


Hiram Fong Papers

Homeschool Legal Defense Hawaii

Honolulu Navy League

Honolulu Traffic

House Minority Blog

Imua TMT

Inouye-Kwock, NYT 1992

Inside the Nature Conservancy

Inverse Condemnation

July 4 in Hawaii

Land and Power in Hawaii

Lessons in Firearm Education

Lingle Years

Managed Care Matters -- Hawaii

Missile Defense Advocacy

MIS Veterans Hawaii

NAMI Hawaii

National Parents Org Hawaii

NFIB Hawaii News

NRA-ILA Hawaii


OHA Lies

Opt Out Today

Patients Rights Council Hawaii

Practical Policy Institute of Hawaii

Pritchett Cartoons

Pro-GMO Hawaii

Rental by Owner Awareness Assn

Research Institute for Hawaii USA

Rick Hamada Show

RJ Rummel

School Choice in Hawaii

Talking Tax

Tax Foundation of Hawaii

The Real Hanabusa

Time Out Honolulu

Trustee Akina KWO Columns

West Maui Taxpayers Association

What Natalie Thinks

Whole Life Hawaii