From today's Wall Street Journal (last three paragraphs)
Robert Laszewski, a consultant at Health Policy & Strategy Associates, said nonprofit co-ops aren't necessarily an easy victory for insurers, though. If they don't work down the road, and the government has to bail them out, they might be a precursor to a stronger government role in health care, he said.
He pointed out that the barriers to entry for new insurers are high: They need to set up information-technology infrastructure, build networks of providers and raise significant capital to hedge against catastrophic claims. A co-op that doesn't navigate those challenges smoothly runs the risk of being shunned by potential customers.
America's Health Insurance Plans, the lobbying group that represents the industry, is also cautious about the idea of co-ops, saying it hasn't seen any details on how such a system would operate. Robert Zirkelbach, a spokesman for the group, said that reforms the insurers have proposed -- such as accepting patients with pre-existing conditions -- are enough to fix the health-care system. "If we do those things, a government-run plan -- including a co-op -- is not necessary," he said.http://online.wsj.com/article/SB125043830465934883.html