When the Medicare Modernization Act created a new drug benefit and the Medicare Advantage programs, there were literally thousands of new health plans that were formed to offer these benefits. Many were brand-new insurance carriers started by investors.
No such outcome met the start of Obamacare. The initial launch of the exchanges was marked by a relatively cautious response from the big, existing carriers. Insurers like Aetna and United Healthcare were highly selective when it came to the rating regions they entered.
