It would seem to be good news for the insurance companies. Why? They will not have to compete against a government ran plan which could provide coverage at cheaper rates. Although, the there is a potential that whatever bill passes will place restrictions that impact their profitability.

For other types of health care companies it would seem to be a non issue. Why? The government’s public option would not be a competitor. The other aspects of what ever bill is ultimately passed will be much more significant.

That said, it is slowly beginning to look like no meaningful bill will be able to pass. Ultimate, something will get done, but it is more likely to be a face saving bill than a major change to the industry. In my opinion, there are too many groups that object for one reason or another to see major change.