Individual rates can be ridiculous, organizations like the Freelancers Union may fix that.

Beyond the difference in cost per individual, when health care is tied to an employer it can be a deterrent from changing employers. For instance, an employee undergoing cancer treatment would be forced to stay with the current employer and insurance policy even if they received a better job offer.

There are some federal requirements for covering pre-existing conditions, but they do allow for a period of time where no coverage for those conditions is provided. Some states require immediate coverage of pre-existing conditions.

The original intent of this post wasn't to seek out risk-reduction in startups but to spark a discussion on how health care in the U.S. could be improved.