{{ AFP National Site
s

AFP Newsletter: Health Insurance Exchanges Attack Free Market Principles

August 25, 2011 J

Health Insurance Exchanges Attack Free Market Principles
AFP Kansas opposes the formation of a government exchange in the state of Kansas. While in theory exchanges can be neutral and promote free markets, in reality they often are tied to government regulations and restrictions that attack free market principles. AFP will oppose government exchange legislation expected to be debated during the 2012 legislative session. In addition, we are opposed to the state of Kansas seeking federal grants through non-legislative routes that are designed to implement or help establish a government exchange in Kansas. If there is any uncertainty as to whether the acceptance of a federal grant binds the state of Kansas to subsequently set up a government exchange, then the grant should not be sought, plain and simple.

As the below AFP blog post alludes to, government exchanges sound like a good idea but they end up being a bad one. It’s important to remember private exchanges already exist in the free market and upon learning of their existence have become more and more popular for consumers.

The Financial Institutions and Insurance legislative interim committee will be meeting on Monday, Oct. 24 and Monday, Nov.14 (exact times and location to come) to discuss Kansas’ implementation of the Federal Patient Protection and Affordable Care Act (ObamaCare). The role of the interim committee is to craft recommendations to be considered by the full legislature when the 2012 legislative session convenes in January. These committee meetings will be open to the public.

We encourage you to contact your state elected officials today and leading up to the legislative session, to inform them that you oppose the establishment of government exchanges in Kansas.

AFP Blog: Proposed Regulations “Exchange” a Good Idea for a Bad One
If health insurance exchanges were developed without government interference, they would serve as a clearinghouse to enhance competition, transparency, and value comparison. When plans have to compete directly with each other to offer the best services at the lowest price, consumers are the winners in the end.

But when a health plan’s participation in an exchange is conditioned on adhering to page after page of federal mandates and restrictions, exchanges can be used as a tool to expand bureaucratic control over health care. Such legally-binding “qualification” requirements force health insurers to provide certain benefits, services, or premium rates they otherwise would not in a free market; non-compliance means getting kicked out of the exchange and losing access to a huge number of potential customers. That’s exactly what the president and his Health and Human Services Secretary, Kathleen Sebelius, are doing to health care exchanges under ObamaCare. Read more

Education Summit
The Kansas Policy Institute is hosting an education summit Sept. 15 in Overland Park. The event will feature a keynote address by Dr. Tony Bennett, Superintendent of Public Instruction for the State of Indiana, and representatives from the governor’s office, Kansas Department of Education, Kansas National Education Association, Kansas Association of School Boards and other public education stakeholders have been invited to attend. Click here for more details.

5th Annual Defending the American Dream Summit
AFP Foundation’s 5th annual Defending the American Dream Summit will be held this November 4-5, 2011 at the DC Convention Center in Washington, DC.

America is at a critical turning point and the future of our children hangs in the balance of the decisions is Congress making today. Join America’s foremost free-market voices, top experts on grassroots mobilization, and the nation’s largest gathering of grassroots leaders from across the country to in a massive show of force for our shared belief in limited government and free enterprise. We must join to together to ensure prosperity for our children and grandchildren.

Radio host Mark Levin is confirmed as a keynote speaker at this year’s Summit. Use the promo code “Levin” to get $20 off the registration cost when you register online.

Like this post? Chip in $5 to AFP.

Join Our Fight

The road to economic freedom starts here.
Join a network of AFP activists in important issue battles across the country, get the inside scoop with breaking news updates and policy alerts, and be the first to hear about special events near your home.  Help us fight for a better tomorrow.  Together, we can work for lower taxes, less government spending, and greater economic freedom for everyone.

Your Information

[contact-form-7 id="544" title="Subscribe"] ×