Case | HBS Case Collection | August 2012 (Revised January 2013)

Public Health Insurance Exchanges: The Massachusetts Experience

by Regina Herzlinger and Jordan Bazinsky


The CEO of Tufts Health Plan, James Roosevelt, is wondering whether to offer insurance products on the Massachusetts Connector, the first U.S. exchange. He wonders if he should enter these uncharted waters at all. And, if yes, with a broad network or a narrow network product. Complicating the decision is that he is the most politically visible scion of the Roosevelt family. Franklin D. Roosevelt, the four term U.S. president, had long espoused the universal coverage this Connector enabled. But was it the right thing for the insurance company he led? The health care reform act of 2010 introduced exchanges on which health insurance could be purchased. This case describes the first such Exchange, created in Massachusetts in 2006.

Keywords: health insurance exchange; healthcare reform; public health insurance exchange; Decision Making; Market Entry and Exit; Emerging Markets; Health Care and Treatment; Insurance Industry; Health Industry; Massachusetts;


Herzlinger, Regina, and Jordan Bazinsky. "Public Health Insurance Exchanges: The Massachusetts Experience." Harvard Business School Case 313-043, August 2012. (Revised January 2013.)