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Selling across state lines would create massive problems with oversight, a new federal body would try to form or they would massively expand HHS, then the state insurance commissioners would be in neverending pissing matches with each other.
Companies would move their offices to whatever state gave them the most lax regulation. When issues arose, the battle would be in the federal court system, not at the state level, which is exceptionally more expensive to fight in for a consumer.
Would there be any savings on the consumer side? Probably not. Costs would probably rise in less expensive areas to offset price cuts to be more competitive in urban areas, until an equilibrium that was maximizing profits could be reached by the carriers.
What really confuses me about this stance is that most Republicans claim to be on the side of allowing states to police themselves, then suggest doing stuff like this.
Companies would move their offices to whatever state gave them the most lax regulation. When issues arose, the battle would be in the federal court system, not at the state level, which is exceptionally more expensive to fight in for a consumer.
Would there be any savings on the consumer side? Probably not. Costs would probably rise in less expensive areas to offset price cuts to be more competitive in urban areas, until an equilibrium that was maximizing profits could be reached by the carriers.
What really confuses me about this stance is that most Republicans claim to be on the side of allowing states to police themselves, then suggest doing stuff like this.