Michael S. Rozeff
LRC Blog
March 23, 2012

California insurance regulators want to stop the growth of self-insuring health care plans among smaller businesses. Yes, they want to stop this free market growth. Why? Because they want socialized (forced) medicine in which those who are better risks pay for those who are worse risks. Is it any wonder America is in deep trouble, following in the footsteps of the European bureaucratic social welfare states with high unemployment buried under unmanageable debts?

Each of us has a large impact on our own health by our life style choices, and these choices are not insensitive to price. The proponents of socialized medicine do not understand this important reality. They think that Nature deals out low blows to all those in ill health, and they think that everyone has a “right” to medical care. This mythical (nonexistent) “right” they want to be paid for by eradicating one’s personal rights to one’s own life, one’s own liberty and one’s own property.

If those who take better care of themselves must subsidize those who take worse care of themselves, the result is that fewer people take better care of themselves (since they are taxed relative to a free market solution) and more people take worse care of themselves (since they are subsidized relative to a free market solution). Socialized medicine produces worse health in the population.

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