That is called a regulated market.
Almost all markets have some sort of regulation or limits. Ponzi and monopoly prohibitions, city health inspections for food service, banks and loan limits, water inspections for drinking water suppliers, licensing for physicians and veterinarians, etc. Regulations that prevent on industry from discarding its wastes to flow downstream. There are also sane regulations for insurers requiring certain amounts of capitalization and ability to pay claims.
There are extremely few totally free markets. The debate is always about the proper amount of regulation and, for me, how little regulation is possible.
However, this is not the debate in this election. The question here is do we move in the direction of free market for health insurance or do we continue the Obama move to a single provider, government.
That is what this election will decide.