By 1995, as a result of the Washington Health Services Act, many of the state’s private health insurers had pulled out of the market.

From 1994 to 1997, the state’s six largest private health insurers lost more than $116 million in the individual market.

Those insurers that stayed had to raise premiums — by 40 percent in some instances.

Rising costs prompted many consumers to drop their coverage, thus increasing the state’s uninsured rate.

By 1999, the individual market had fallen apart — with individuals and families in 30 of Washington’s 39 counties not having any private health insurance options.

Washington state also became a magnet for patients from around the country who had serious and expensive medical conditions because they knew they could get immediate health insurance coverage.

Many people took advantage of the new system in other ways. For example, some women would enroll in a health insurance plan after becoming pregnant and drop their coverage following the births of their babies.

People would also change from a low-cost health insurance plan with a high deductible to a high-coverage health insurance plan with a low deductible, receive major medical procedures or treatments, and then change back or drop their coverage.

The Washington Health Services Act led to rising healthcare costs and fewer options for consumers.

These outcomes were generated by the legislation’s centralized financing and delivery of health care, including the rationing of health care, limiting consumer choices for doctors, and consumers paying for coverage they did not need or necessarily want.

While many provisions of the Washington Health Services Act were repealed in 1995, remaining issues caused private health insurers to leave the state. The state went from having 19 private health insurers in 1993, to only having three remaining today.

The aftermath continues to hurt families, individuals and small businesses.

The story of Washington state should serve as a cautionary tale for those making decisions on health care reform in Washington, D.C., but the message has not yet been received.

While Washington state’s actions in 1993 were a prime example of how not to implement health care reform, this is not to say that states should refrain from taking the lead.

On the contrary – states can, and should, play a leading role.

However, it must be done right.

Rep. Doug Ericksen (R-Ferndale) is the ranking Republican on the House Health Care and Wellness Committee in Washington state. Dr. Roger Stark is a retired surgeon and a healthcare policy

analyst with Washington Policy Center.