My logic is: The wider the gap between costs for insurers to pay for operation A vs for you to pay for operation A, the more value you get as a consumer get fr

My logic is: The wider the gap between costs for insurers to pay for operation A vs for you to pay for operation A, the more value you get as a consumer get from having insurance which means the insurance company can earn more profit. Dumb example. If it costs you a billion dollars and the insurance company a million dollars. The insurance company can comfortably charge you a premium that protects you from the billion dollar risk instead of the million dollar risk. I would assume that, if rates were equal for both parties, insurance premiums would go up and insurance profitability would go down. If insurance profitability goes down, suddenly the insurance company is incentivized to decrease the costs of healthcare for everyone. Right now the insurance company has the incentive to INCREASE the generic cost of healthcare and decrease for them only. I am not an expert here.