Universal HealthcareBy NextBestFit
Phase 3: Waves 2 & 3: working-age adults · Step 3.3

Wind down the private health insurers

Years 1–5 · State insurance commissioners; NAIC; UHADiscuss this step
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Task 3.3.3 of 6

Nonprofit insurers (most Blue Cross Blue Shield plans): when they dissolve or convert, their assets go to charitable health foundations, as with prior Blue conversions (e.g., the California Endowment).

Who does it
State AGs
When
Years 2–5
Trade-off

Sending Blue Cross assets to foundations serves the public but is resisted by Blues executives and boards.

Part of: Wind down the private health insurers

Insurers' UHP-duplicative business ends. They must process all claims for prior coverage (run-off), protect policyholders, and convert or close in an orderly way. The 'Net cost of insurance' line falls from $306.0B to $26.4B.

This step changes 4 existing laws, programs, or institutions. See the list.