Slideshow 10 states that experienced the biggest drop in competition levels between 2010-2013

Published
  • September 28 2015, 7:20am EDT
11 Images Total

Overview:

Merger and acquisition activity in the health insurance industry threatens to further erode market competition, which many benefit insiders feel is already dismal. Recent research from the American Medical Association identified the top 10 states that have experienced the biggest drop in competition levels between 2010 and 2013 based on market concentration levels as determined by the Herfindahl–Hirschman Index or HHI—a measure used by the U.S. Department of Justice and the Federal Trade Commission.

The HHI number can range from close to zero to 10,000. DOJ considers a market with a result of less than 1,000 to be a competitive marketplace; a result of 1,000-1,800 to be a moderately concentrated marketplace; and a result of 1,800 or greater to be a highly concentrated marketplace.

10) Ohio

Change in HHI between 2010 and 2013: +232

Content Continues Below


9) Iowa

Change in HHI between 2010 and 2013: +273

8) West Virginia

Change in HHI between 2010 and 2013: +275

Content Continues Below


7) Texas

Change in HHI between 2010 and 2013: +275

6) Illinois

Change in HHI between 2010 and 2013: +278

Content Continues Below


5) Montana

Change in HHI between 2010 and 2013: +326

4) Missouri

Change in HHI between 2010 and 2013: +424

Content Continues Below


3) New Jersey

Change in HHI between 2010 and 2013: +448

2) Idaho

Change in HHI between 2010 and 2013: +737

Content Continues Below


1) Louisiana

Change in HHI between 2010 and 2013: +1172