Health Insurers: No Reform For Small Group Market

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We've heard much noise from the health care industry lately that sounds a lot like Kumbaya -- everyone, it seems is on-board with reform. Even insurers support market reforms that will limit their ability to rate potential customers on the basis of their health. Except, that is, when it comes to small business.

The New York Times pointed out the inconsistency in an article published in yesterday's paper. While the insurance industry has agreed to regulation in the individual insurance market, it is apparently divided when it comes to the small group health market. The Times reports that Aetna and Cigna support regulating the small group market, but other big players -- particularly those with Blue Cross franchises -- have refused to take a public position. WellPoint, a large Blue Cross insurer, opposes small group reform. "Those markets generally work today," Bradley M. Fluegel, the company's chief strategy officer, told the Times. "They are well regulated by states."

The Agenda suspects many of its readers would disagree.