California Consumers Pay the Price for Health Insurance Market Failure

A few private health insurance companies have built a near-monopoly in the California market, burdening families and businesses with premiums that grew 4.8 times faster than wages from 2000 to 2007.1 California’s two largest health insurers control 58 percent of the market.2 Under a competition rating system used by the U.S. Justice Department, the California state market is “highly concentrated.”3,4