> Without the burden and complexity of securing private health insurance, anyone with a couple months rent saved up could try starting a business.

How expensive is private health insurance in the US? I've seen numbers as low as $6k a year, but from your post it sounds more like $20k a year.

I doubt that it would massively increase the amount of startups. We have all that (and more) in Germany, and you don't see companies popping up everywhere, and the ones that are founded are mostly copy cats.