Will insurance companies be able to compete with our government? Maybe not but should government even come in the market?

http://www.nytimes.com/2009/03/30/opinion/l30health.html
I found this interesting article on New York Times.
Health care has long been our concern.
One of our major concerns are whether or not being able to live a healthy life until we reach the "life expectancy".
Major ways to hedge against this type of risks are mainly done by having sufficient insurance coverage.
However, due to the increased cost in health care insurance many of our citizens are left uninsured.
There are many reasons behind the sky rocketing health care costs.
Defensive medicine is one of the major things that contributes to this issue.

http://blogs.usatoday.com/oped/2008/04/wasted-medical.html
Doctors are not Gods. They are human being and they do make mistakes in their line of duty. Unfortunately, all of us have difficulty understanding this fact and bring up lawsuits in order to recover the damages caused to our significant ones. In order to prevent this from happening doctors are intensively examining the patients in order to make themselves sure that nothing is wrong with the patient.

The article which I chose argues whether or not if private insurance companies would be able to compete with the government program. Such as medicare.

The question I must ask is should the government even try to get in the market?

I definately do not think government should step in at all into this field.
I believe nationalized health care type of policy ran by the government would just result in a massive chaos.
As we learned in Dr. Grace's class insurance companies must face both the moral hazard and adverse selection.
The same thing can be said to the government.
Insurance companies itself are having difficulties protecting themselves against these issues.
Can you imagine how much would the government must suffer in order to keep this program in place?
How would the spending go? I think the government is taking up enough money from the tax payers pockets.
This is the reason why I think government should step back from the program.