Originally Posted by lets-retire
Is there any law preventing someone from forming an organization solely for the purpose of pooling resouces for health insurance? Sort of like a credit union for insurance. It seems like it would have to be cheaper than buying it on the open market.
Believe so. Even if it could be done legally, the group would be subject to what the insurance industry calls adverse selection. Such groups would primarily attract people that really need
insurance (the sick). If any insurance company would participate, the premiums would be sky high.