N.H. GOVERNOR DEFENDS HEALTH LAW:

Gov. Craig Benson is defending legislation that allows health insurers in New Hampshire to set rates based on such risk factors as age and health as too new a law to be judged properly. Benson said the law has been working only for nine months to attract insurance companies to the state. He said the law has attracted four new companies, but it will take more time for the positive effects of competition to be felt fully. Democrat John Lynch has made repealing the law a key platform in his gubernatorial campaign. Lynch argues the law allows health insurance companies to discriminate against sick and older workers and has driven up health care costs for small businesses across the state. Benson insists competition encouraged by the law will lead to lower costs and more choices for small businesses. The law allows insurers to consider a company’s location, type of business and health of its workers in setting premium rates for businesses with 50 or fewer employees. The goal is to attract more insurers to the state, thereby increasing competition and giving businesses more choices and better prices. Republican state Rep. Rogers Johnson—who supports the law—said lawmakers may need to modify the law for very small businesses. He said companies with one to nine employees experienced much higher rate increases than other small businesses.