"Federal, state and local governments regulate companies and people all the time and we continue to have competition."
I work in a heavily regulated industry. Pick an industry that is efficient, competitive, and gives the most bang for the buck, and I'll bet you it's not a regulated field. The finance industry, banks, insurance, etc., are already heavily regulated. Don't confuse regulation with subsidies.
"If the federal government says all companies have to accept pre-existing conditions, then competition will be maintained."
That already exist Jerry. Do you read the other post? But if the requirements are so much that the industry is not profitable, THERE WILL BE NO ONE LEFT TO COMPETE, except the subsidized/gov't plan. Look at this damn thing ten years down the road, not 180 days. They want a single payer system, no competition. The administration has come out and said exactly that. This is how we get there. I'm not sure you will get it however, until you finally put your hand on the stove.