Since I am making very general statements, I am sure you could find one thing they should never use, though I cannot think of one right now. Whatever variable an insurance company wants to use to justify raising or lowering its rates should in general be used. Insurance companies hedge against risk and uncertainty, and they will be able to do this better with more lax regulation in this regard.also when talking about something like this "etc" doesnt cover it, there are certain things that should NEVER have an impact on such things.
You are looking at it from a single point in time. So long as our insurance markets remain competitive, insurance companies will not simply reep the benefits. Why do you think we pay actuaries so much money? They want to find the lowest rate at which the insurance company can make money, or else the competition will take away their customers. If the insurance company can make more money by discriminating against those with pre-existing conditions, this will eventually lead to lower premiums.and I possible imagine how it would make the insurance market "much more efficient" unless you define efficient as lots of money for the insurance companies and lesser service coverage and quality of care for its customers.
In this regard, I agree with you. We need to keep insurance companies honest. Insurance needs to be insurance. If you already have insurance they need to pay for what they said they would.Im not saying you meant any of this im simply asking because since currently the insurance companies LOVE to figure out how to not pay what makes you think with "very light regulation" they would change this attitude?