Health Insurance Across State Lines

Fight disinformation: Sign up for the free Mother Jones Daily newsletter and follow the news that matters.

Bob Somerby takes both liberals and the media to task for not fighting back against a conservative meme:

In recent weeks, we’ve mentioned the press corps’ failure to examine a ubiquitous GOP claim — a claim asserting the merits of letting consumers buy health insurance “across state lines.” On the various cable “news” channels, voters hear this proposal advanced again and again and again.

….The voters deserve to hear this explained. We have never seen this explained on cable, although we’ve endlessly heard the proposal. And we still haven’t seen this matter explained in a simple, “explainer” news report. For the most part, our big news orgs simply don’t explain things. In all candor, they rarely seem to know what sorts of claims are being made in the wider discourse.

We’ll offer one further suggestion for any newspaper which might want to do an explainer piece — a piece which might be called, “Buying across state lines for [us] dummies.” On cable, Republicans and conservatives often draw a comparison between health insurance, which can’t be sold “across state liners,” and car insurance, which apparently can. Since voters constantly hear that refrain, an “explainer” piece ought to address it.

Is it really true that no cable or major print outlet has ever addressed this? It might be! I don’t watch enough cable to know, and I don’t read every article in every major newspaper. But I confess that my memory says Bob is right: I don’t remember ever seeing this given any kind of serious treatment.

The basic problem with this proposal, of course, is pretty simple. If you allow health insurance policies to be sold across state lines, states would start competing for insurance industry business by writing ever friendlier regulations. Eventually some small state will win this contest with an absurdly lax regulatory regime, and every insurance company in America will set up shop there. Essentially, the entire country would be forced to accept whatever pro-industry rules that, say, Wyoming decides to write for the rest of us. Do the citizens of all the other states really want to cede that power to Wyoming?

As for car insurance, if you want to sell auto policies in California, you have to abide by California laws. Ditto for the other 49 states, regardless of where your company is actually located. So the comparison is bogus. Every state does have its own auto insurance regulations, just as they do in the health insurance arena.

But a longer, more definitive explanation would be welcome. If Bob is right that no one has ever bothered to do this even though conservatives repeat this proposal regularly, maybe someone should think about taking a reporter or two off the CPAC beat and assigning them to this instead.

TIME IS RUNNING OUT!

We have an ambitious $350,000 online fundraising goal this month and it's truly crunch time: About 15 percent of our yearly online giving usually comes in during the final week of the year, and in "No Cute Headlines or Manipulative BS," we explain why we simply can't afford to come up short right now.

The bottom line: Corporations and powerful people with deep pockets will never sustain the type of journalism Mother Jones exists to do. And advertising or profit-driven ownership groups will never make time-intensive, in-depth reporting viable.

That's why donations big and small make up 74 percent of our budget this year. There is no backup to keep us going, no alternate revenue source, no secret benefactor. If readers don’t donate, we won’t be here. It's that simple.

And if you can help us out with a donation right now, all online gifts will be matched thanks to an incredibly generous matching gift pledge.

payment methods

TIME IS RUNNING OUT!

We have an ambitious $350,000 online fundraising goal this month and it's truly crunch time: About 15 percent of our yearly online giving usually comes in during the final week of the year, and in "No Cute Headlines or Manipulative BS," we explain why we simply can't afford to come up short right now.

The bottom line: Corporations and powerful people with deep pockets will never sustain the type of journalism Mother Jones exists to do. And advertising or profit-driven ownership groups will never make time-intensive, in-depth reporting viable.

That's why donations big and small make up 74 percent of our budget this year. There is no backup to keep us going, no alternate revenue source, no secret benefactor. If readers don’t donate, we won’t be here. It's that simple.

And if you can help us out with a donation right now, all online gifts will be matched thanks to an incredibly generous matching gift pledge.

payment methods

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate