Federal Regulation of Insurance Taking a Step Forward

If the Federal Government passes a new regulation proposed today, it will scrutinize Health insurers pricing over the next few years. Not being able to regulate rates they can certainly put undo pressure on companies that have an actuarial need to raise costs. This is troublesome to me as it opens the door for more and more regulation of pricing. It also opens the door for Federal intimidation on profits. If insurance companies are profitable then they may be criticized on their pricing and could be 'forced" to lower rates to reduce profit. Insurance is becoming more and more a commodity and therefore is starting to fall into a perceived public right. This could no doubt pit the Federal Government and the private business sector of insurance against each other. Stay tuned.  Until next time know your risks and be careful out there. K

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