Insurance nonprofit planned to compete with private insurers under health care act
HealthCare 21 Business Coalition plans to seek a federal loan that will allow it to create a nonprofit health-insurance company run by consumers.
The Consumer Operated and Oriented Plan, included in recent health reform legislation, supports the development of these health cooperatives, which will sell qualified health plans through state insurance exchanges and individual and small-group insurance markets.
Healthcare 21 has already formed a team to apply for funding, which will be used to create consumer-oriented alternatives to commercial models of health insurance. At least one CO-OP will be allowed in each state.