March 31, 2009 5:21PM # ‘Health Status Insurance’ Provides Real Alternative to Universal Care By [Michael F. Cannon](https://www.cato.org/people/michael-f-cannon) --- SHARE So screams the headline of John Cochrane’s [oped](http://www.investors.com/editorial/editorialcontent.asp?secid=1502&status=article&id=323303823336998) in today’s *Investor’s Business Daily*. An excerpt: > Markets can provide long-term, secure health insurance while enhancing choice and competition. Given the chance, they will… > > > This is not pie in the sky. The market for individual health insurance is already innovating to provide better long-term insurance. Well before it was required by law, insurance companies started offering “guaranteed renewable” policies. > > > Once you buy in, you have the right to continue coverage even if you get sick, and your premiums do not rise if you get sick. > > > UnitedHealth Group recently announced a product that gives customers the right to buy medical insurance in the future, at a premium that depends only on their current health status. > > > For a small premium, you can protect yourself against the risk that your health premiums will escalate. This is only a small step away from full health-status insurance. The oped is based on Cochrane’s recent Cato policy analysis, “[Health-Status Insurance: How Markets Can Provide Health Security](https://www.cato.org/pubs/pas/pa-633.pdf).” You can also hear Cochrane and Johns Hopkins University health economist Brad Herring discussing health-status insurance at [this Cato policy forum](https://www.cato.org/event.php?eventid=5973), held today. ##### Related Tags [Health Care](https://www.cato.org/health-care) [![Creative Commons License](/build/cato_2020/images/creative-commons.svg)](http://creativecommons.org/licenses/by-nc-sa/4.0/) This work is licensed under a [Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License](https://creativecommons.org/licenses/by-nc-sa/4.0/).