There's something about the Indiana insurance market that leads to payers reaping big profits. For example, Indiana is the most profitable state for WellPoint, which is based in the state. But WellPoint isn't even the most profitable insurer in Indiana, reported the Indianapolis Business Journal. The profits insurers accrue there are larger than their peers in other states. What's more, selling health coverage to small employers is big business for insurers in Indiana. WellPoint saw a 10 percent underwriting margin on small employer groups in Indiana in 2012, which was it highest among the 14 states where it sells policies. UnitedHealth's margin on small employers was 10.2 percent that same year. That's partly due to the fact that Indiana employers haven't adopted the idea of HMOs, so they haven't wanted to provide plans to their workers that limit doctor choices. But at the same time, Indiana's healthcare costs have increased at much faster rates than other states. Article