US NCPA calls for more competition in health insurance

The USA-based think-tank the National Center for Policy Analysis has called for the "overlooked" option of creating a competitive insurance market as a solution to the rising costs in US health care, as an alternative to creeping price controls. Devon Herrick, a senior fellow at the NCPA, writing in the Baltimore Sun newspaper, said: "also missing from the debate is why 45 million Americans are uninsured."

Mr Herrick claims that evidence shows that many uninsured people can afford the costs but consider that health care is not good value for money. He also told the Baltimore Sun that he supports the legislative proposal by Republicans US Senator Jim DeMint (South Carolina) and Representative John Shadegg (Arizona) that would permit insurers to sell policies across state lines, arguing that the barriers raise costs and reduce competition.