In recent years, new federal health care laws have received a tremendous amount of attention. The Affordable Care Act is controversial and will have an enormous effect on standard healthcare costs over the next decade. However, state health insurance laws are also important and, in some cases, changes to state law are actually more important for residents than some of the highly-publicized changes to federal law. Many states are experimenting with programs that would provide low-cost health care to all residents, while other states are focusing on laws that restrict the abilities of insurance companies to deny claims. Understanding the potential effect of state health insurance laws can be important for consumers, especially when buying coverage.

New laws in Connecticut are a good example of the type of legislation that's being passed all over the country. Connecticut's new laws expand employer requirements, compelling businesses in the state to purchase health insurance policies for their employees that cover expensive medical procedures including breast examinations and MRIs. These expansions will significantly benefit workers in the state. However, opponents worry that any new requirements will put more strain on businesses or drive up the cost of health insurance statewide. As the regulations are statewide, there's also a concern that businesses will simply move to neighboring states as a result of the new regulations. Other states that are expanding the requirements of employer-sponsored health insurance policies have had varying results, so it's difficult to make overarching predictions. The new regulations have already started in Connecticut as of January 1st.

Other states are looking to completely redesign their insurance systems in order to limit numbers of uninsured residents. Some states are looking towards Hawaii, which has low health insurance rates and a unique standard healthcare system. In Hawaii, all employers are required to purchase health insurance for their employees, including many part-time employees. This has driven down insurance costs and, despite Hawaii's higher-than-average incidence of some types of cancer and other diseases, the high number of insured residents in the state has meant lower-than-average health care costs. For many states, adopting a similar system could be beneficial, although opponents of Hawaii's health care system would again argue that high health insurance requirements could prevent employers from hiring.

Health insurance buyers should be sure to understand their state health insurance laws when purchasing plans, as state law can be incredibly important in determining the effectiveness and overall costs of coverage. Federal laws are certainly extremely important but, with waves of important state legislation sweeping across the United States, many buyers will see their premiums change in the coming year as a result of new state laws.