ext_90803 ([identity profile] badlydrawnjeff.livejournal.com) wrote in [community profile] talkpolitics 2010-12-14 01:23 am (UTC)

Re: No such things as a free organ transplant

Insurance markets require the low risk to subsidize the high risk to work. If the low risk people *know* they're low risk, they won't.

Yet they do not pursue these people when they're ripe for the picking. Yet they essentially create an incentive for the low risk to drop off the rolls until they reach a higher risk year. You understand why this isn't exactly a logical position to be claiming, right?

How do you create a business plan that convinces low-risk folks to subsidize high risk folks? There can be a bit fear-mongering. But considering so many low-risk folk voluntarily decide to go without health insurance, I'd say it's a poor market strategy.

Or the health of the business doesn't actually rely on that.

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