Analysis: Many Rural Areas Lack Insurer Competition
Although one of the main goals of the Affordable Care Act is to increase competition between insurers as a way to reduce health insurance costs for consumers, an analysis by the New York Times found that such competition and lower prices are lacking in many rural areas. Some experts believe the findings are the result of insurers being hesitant to enter markets in rural areas because medical costs are higher, there is tougher competition with more dominant insurers and powerful hospital systems tend to resist accepting lower rates.
- "Health Care Law Fails To Lower Prices for Rural Areas" (Abelson et al., New York Times, 10/23).