Populist
politicians love to tell how private insurance companies, or any
private business, should be able to compete with any entity that is
government-run, especially with regard to health insurance.
But
we know that government entities are not operated at low cost. The
Post Office is one example. Medicaid and Medicare are government
insurance coverage run amok.
What
pro-government insurance fans never tell you, is that government has
no capital costs. The taxpayer subsidizes capital as well as
operational outlays.
All
private health insurance companies must provide expensive capital and
funds and yet have only a few percentage points of profit to show
for it.
Never
fall for the argument that having a government agency option to
choose from in health insurance will help the consumer. (See
the Earl J Weinreb NewsHole® comments.)
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