>>Let insurance companies sell across state lines...
I really don’t think this will make much difference. As opposed to auto insurance where you are largely looking for someone to just cut you a check when you have an accident, health insurance is more about buying into a network of doctors and hospitals that can use. Can an insurer operating out of Nevada set up a network in Alabama that would be more attractive to consumers than an insurer operating in the state?
He could, but why would he want to go to the time and expense to do so for a handful of customers? And why would the people in Alabama want to buy his insurance when every claim they make will cost them the out-of-network deductibles and copays?
Competition works in environments that encourage new companies to enter into new markets. Healthcare insurance is designed to discourage that.