Health Insurance Profits Soar

[Political Junky]

Health Insurance Profits Soar, Dem Calls For Rebates

WASHINGTON -- Health insurance profits are skyrocketing in 2010 compared to last year's returns and the outgoing chairman of the House subcommittee that oversees the companies is calling on them to return the profits to consumers in the form of premium reductions.

"Your ten firms alone have reported over $9.3 billion in profits for the first three quarters of 2010," writes Rep. Pete Stark (D-Calif.), chairman of the Ways and Means health subcommittee -- and, for a day, chairman of the full committee. "On average, your profits have gone up 41 percent from last year."
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[Revere]

They are still 3-4% of revenues. Is that "excessive?"

 

[Trajan]

They are still 3-4% of revenues. Is that "excessive?"

it is when you are statist and the productive bourgeoisie need to be beat down.

 

[Soggy in NOLA]

They are still 3-4% of revenues. Is that "excessive?"

To our Marxist comrades, yes.

 

[Care4all]

They are still 3-4% of revenues. Is that "excessive?"

Hi Revere,

Got a recent link that supports they are STILL at only 3-4%with their 40% increase in profit?

(fyi=Walmart runs around 3.5% in profit)

the corporations I've worked for strives for 4%....

 

[boedicca]

Pete Stark is one of the most Rabid Moonbats in Congress.

Let's look at Aetna. Last quarter, it had net profit of 5.8%. It reduced its operating expenses by $240M from the Q4-09 level - hence much of the increase in profits was due to operational savings. That's what companies do in poor economies - cut costs. It's revenue has actually decreased - contrary to the Moonbat Spin that the insurance industry is drastically gouging consumers with huge fee increases. Its net profit was $497M after paying $270M in income taxes.

Stark can complain all he wants about Insurance Company profitability - but the government itself takes a bit chunk of it (35%).

AET Income Statement | Aetna Inc. Common Stock Stock - Yahoo! Finance

 

[Care4all]

I would give my big toe, to be getting 3-4% interest on the money we have in CD's or in our Savings accounts.

 

[Care4all]

that 35% is deceiving Boe....that is 35% of their profit, after all bills and bonuses and perks and bennies to employees and cost of goods and overhead etc is paid....this is not 35% of their Revenues.... or 35% of their income, as it would be for an individual.

 

[iamwhatiseem]

It is just a story to put out there for the MSM to lap it up and pass it on much in the same fashion as the OP.
When you say "Profits has SOARED 40%!!"...that sounds like fightin' words to anti-capitalist liberals.
But afterall...if a company with $400,000,000 in revenue made $1.00 in profit last year...and then made $1.40 the next year.
You could technically say the above.

 

[WillowTree]

Health Insurance Profits Soar, Dem Calls For Rebates

WASHINGTON -- Health insurance profits are skyrocketing in 2010 compared to last year's returns and the outgoing chairman of the House subcommittee that oversees the companies is calling on them to return the profits to consumers in the form of premium reductions.

"Your ten firms alone have reported over $9.3 billion in profits for the first three quarters of 2010," writes Rep. Pete Stark (D-Calif.), chairman of the Ways and Means health subcommittee -- and, for a day, chairman of the full committee. "On average, your profits have gone up 41 percent from last year."
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Funny. They don't make the oil companies return revenue when they profit billions. oh wait Mrs. Palin did.

 

[Care4all]

9.3 billion in profit in just a few months.... is an awful lot of money that could be spent on ACTUAL HEALTH CARE INSTEAD of going to a middle man that provides no Medical Care what so ever....

 

[elvis]

Health Insurance Profits Soar, Dem Calls For Rebates

WASHINGTON -- Health insurance profits are skyrocketing in 2010 compared to last year's returns and the outgoing chairman of the House subcommittee that oversees the companies is calling on them to return the profits to consumers in the form of premium reductions.

"Your ten firms alone have reported over $9.3 billion in profits for the first three quarters of 2010," writes Rep. Pete Stark (D-Calif.), chairman of the Ways and Means health subcommittee -- and, for a day, chairman of the full committee. "On average, your profits have gone up 41 percent from last year."
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I guess this is the change Obama was talking about. I wonder how much money they'll give to his campaign in 2012.

 

[uscitizen]

Yeah just like those whiney dems to complain about something that is boosting the GDP numbers...

The next thing you know they will complain about the increasing GDP numbers related to price increases on food or gasoline.

 

[boedicca]

that 35% is deceiving Boe....that is 35% of their profit, after all bills and bonuses and perks and bennies to employees and cost of goods and overhead etc is paid....this is not 35% of their Revenues.... or 35% of their income, as it would be for an individual.

The largest expense they have is paying claims. Last quarter, revenue was $8.5B with cost of revenue (claim payments) at $6.1B. Those claims are the benefits paid to the insured. Tax the revenue, and there is less coverage for the insured.

Aetna is owned by shareholders. The Federal income tax is on their profits.

And paying their employees for their work is hardly a luxury.

 

[boedicca]

9.3 billion in profit in just a few months.... is an awful lot of money that could be spent on ACTUAL HEALTH CARE INSTEAD of going to a middle man that provides no Medical Care what so ever....

Scuze me. Large insurance companies are publicly traded and have an obligation to their shareholders to earn a decent return on capital. Those shares are widely held by pension funds, btw. So destroying insurance company profits just worsens the pension liabilities that are crushing state budgets.

 

[Revere]

9.3 billion in profit in just a few months.... is an awful lot of money that could be spent on ACTUAL HEALTH CARE INSTEAD of going to a middle man that provides no Medical Care what so ever....

If you believe Obamacare will cost only $1T over ten years, you'd burn through $9.3B in about one month.

 

[iamwhatiseem]

9.3 billion in profit in just a few months.... is an awful lot of money that could be spent on ACTUAL HEALTH CARE INSTEAD of going to a middle man that provides no Medical Care what so ever....

It is all relative.
I'll give you a for instance.

Last month my company made in "profits"...

1) $78,000
2) $66,000
3) $49,000

They are all three technically true.

Profits are not a concrete figure.
I guarantee they chose a the highest "profit" number they could find.

 

[boedicca]

Health Insurance Profits Soar, Dem Calls For Rebates

WASHINGTON -- Health insurance profits are skyrocketing in 2010 compared to last year's returns and the outgoing chairman of the House subcommittee that oversees the companies is calling on them to return the profits to consumers in the form of premium reductions.

"Your ten firms alone have reported over $9.3 billion in profits for the first three quarters of 2010," writes Rep. Pete Stark (D-Calif.), chairman of the Ways and Means health subcommittee -- and, for a day, chairman of the full committee. "On average, your profits have gone up 41 percent from last year."
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I guess this is the change Obama was talking about. I wonder how much money they'll give to his campaign in 2012.

Comparing 2010 performance to dismal results in 2009 is not a good year over year perspective - but it's not surprising that Stark is focusing on improvement from the downturn as something EVUL. Profits declined from 2007, and are now recovering.

Boo Frelling Hoo...I am so not crying a river.

 

[WillowTree]

9.3 billion in profit in just a few months.... is an awful lot of money that could be spent on ACTUAL HEALTH CARE INSTEAD of going to a middle man that provides no Medical Care what so ever....

so could the money spent on that vacation in Spain.

 

[CrusaderFrank]

Health Insurance Profits Soar, Dem Calls For Rebates

WASHINGTON -- Health insurance profits are skyrocketing in 2010 compared to last year's returns and the outgoing chairman of the House subcommittee that oversees the companies is calling on them to return the profits to consumers in the form of premium reductions.

"Your ten firms alone have reported over $9.3 billion in profits for the first three quarters of 2010," writes Rep. Pete Stark (D-Calif.), chairman of the Ways and Means health subcommittee -- and, for a day, chairman of the full committee. "On average, your profits have gone up 41 percent from last year."
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Stupid fucks who don't understand how the insurance business works should not have any power over the industry, even to comment on it on a message board.

The "Profits" won't be fully accounted until the policies they collected these premiums against come to term.

They are underwriting future potential risk and pricing their premiums accordingly.

When the Insurance Co's lose money is Congress going to make the customers pay more?

Unlike ObamaCare is anyone FORCING customers to buy insurance from these companies?