Buying health insurance in other states

YONKERS, N.Y., Feb. 4 (UPI) -- Allowing those who buy health insurance themselves to shop in other U.S. states would not lower health costs for all, consumersunion.org says.

An alternative to healthcare reform is for anyone in the market for an individual policy to shop for coverage anywhere in the country. This option does not apply for those on Medicare or if health insurance coverage is provided via employment.

Currently, people can only buy an individual policy that's approved for sale in the state where they live. States vary widely in how strictly they regulate insurance, the site said.

A few states require insurers to accept all comers, young and old, sick and well, but in other states, insurers can turn down whomever they want, the site said. Some states have strict rules on what policies must cover, which are more expensive, while others allow the sale of plans with very skimpy benefits, which are less expensive.

"Patient and consumer advocates predict it would spark a 'race to the bottom" as insurers flocked to the least-regulated states and started luring healthy, younger customers with cheap, skimpy policies," consumersunion.org says.

"But it would raise costs for those who are having the toughest time under the current system -- the sick and the aging."

In its analysis, the Congressional Budget Office says the effect on overall health coverage would be a wash, consumersunion.org says.