There is not a free market in the US healthcare industry and hasn't been for a long time. You can't have the level of government involvement and regulation as we currently have and call it a free market.
What we have is a bastardized system that isn't very dissimilar to half adultery.
http://mises.org/wire/lower-health-care ... ry-freedom
http://mises.org/wire/do-we-have-free-m ... cal-system