FACT CHECK: Health Insurers' Profits Not So Fat

[WillowTree]

so another demonization under false pretenses. Do democwats know of any other way to act? or is it all search and destroy?

WASHINGTON -- In the health care debate, Democrats and their allies have gone after insurance companies as rapacious profiteers making "immoral" and "obscene" returns while "the bodies pile up."

But in pillorying insurers over profits, the critics are on shaky ground. Ledgers tell a different reality.

Health insurance profit margins typically run about 6 percent, give or take a point or two. That's anemic compared with other forms of insurance and a broad array of industries, even some beleaguered ones.

Profits barely exceeded 2 percent of revenues in the latest annual measure. This partly explains why the credit ratings of some of the largest insurers were downgraded to negative from stable heading into this year, as investors were warned of a stagnant if not shrinking market for private plans.

Insurers are an expedient target for leaders who want a government-run plan in the marketplace. Such a public option would force private insurers to trim profits and restrain premiums to compete, the argument goes. This would "keep insurance companies honest," says President Obama

FACT CHECK: Health Insurers' Profits Not So Fat - Political News - FOXNews.com







I bet you can't give us one good reason to trust you anymore. What a bunch of liars.

 

[Jay Canuck]

[SIZE=+1]Quotes[/SIZE]
"Medical bankruptcies are an epidemic in the United States. Nearly 62 percent of all U.S. bankruptcies in 2007 were due to health care costs - and 78 percent of medical bankrupt people had insurance."
-- --Zaid Jilani , Link
"Who gives a fuck?"
-- The Republican party

 

[CrusaderFrank]

Note the AstroTurf signs

 

[Bern80]

Just read this article myself. If anything it is more evidence that a public 'option' will transform fairly quickly into the only 'option'. There are plenty of mechanisms that can help drive down the cost of care. National competetion for coverage for one. The malpractice insurance issue is another. That is a huge cost to physicians which drives up the price of services.

 

[Ravi]

Medicare doesn't have profits at all.

What a pointless article, good work!

 

[CrusaderFrank]

The 2 minute hate against the Insurance Companies is scheduled for 8pm est.

Your attendance is not mandatory but you will be shot if you are found not in attendance -- Big Brother Rufus T Obama

 

[Jay Canuck]

It's been a solid hour and I haven't been able to stop sobbing for the insurance companies....

 

[PLYMCO_PILGRIM]

Yeah willow...the truth and common sense have no place in the Health Care debate.

Socialized Medicine, I mean the Public Option, I mean the consumer option, I mean the competetive option is a MUST.

We MUST pass the bill now so we can impliment it in 2013.

Plus it will only cost a trillion dollars and at the same time not add a dime to the debt.

And its going to have awesome health advisory councils that decide if your personal worth to society is worth the care you need for a sickness....another bonus.

I mean how can you be against this...dont you want everyone to have insurance? Only 14million or so americans will still be uninsured under the plan, that means for a trillion bucks we can cover almost half the currently insured!!! I mean c'mon.

I mean didn't you read about how great government involvement in health care has been in massachussettes? The state is 3 years in and is starting to ration care now and is running a 2 billion dollar defecit from it. Thats AWESOME!!!!! The whole country should try it.


Stop being so blind and ignorant...government involvement is ALWAYS good. Always. Just look at how profitable AMTRACK is.

Look at how Social Security is out of money as the result of a ponzie scheme implimented by congress.


We are From the Government, and we are here to help


/sarcasm over

 

[CrusaderFrank]

Freedom to Choose Only Government Mandated HealthCare Act of 2009

 

[Ame®icano]

Top industries: Most profitable - CNNMoney

Health Care: Insurance and Managed Care 2.2% profit margin

 

[The Rabbi]

Even if they had 99% margin of profits, so the fuck what? I am sick of this class warfare bullshit the administration is pushing. Someone either earns their keep in a competitive economy, or they dont. And if they dont, the market will punish them by pushing them into bankruptcy.
Reagan had the left's attitude right: If it moves, tax it. If it still moves, regulate it. And if it stops moving, subsidize it.

 

[American Horse]

Medicare doesn't have profits at all.

What a pointless article, good work!

Ravi, although Medicare doesn't have or make any profit, it has plenty of fraud and abuse, and no discipline. Insurance companies do all they can to give discipline to seeing that those problems are kept to a minimum.

Saw a guy on TV this AM who said he made 20-million by defrauding Medicare. Said it was easy. Everyday he got up and the first question on his mind was how much money he had made at the end of the previous day. His way was only one of a number of ways to defraud the system.

On top of that, our unimaginative politicians (of one party mainly) will only come up with one way to cut costs, since theyve sworn off competiton; to cut payments to providers, and then to cut services which seem too costly. We should trust them, eh? Booh!

 

[Old Rocks]

Just read this article myself. If anything it is more evidence that a public 'option' will transform fairly quickly into the only 'option'. There are plenty of mechanisms that can help drive down the cost of care. National competetion for coverage for one. The malpractice insurance issue is another. That is a huge cost to physicians which drives up the price of services.

That is what I hope for. And your analysis is fundementally flawed. No other nation pays 17% of its GDP for their health system. In fact, the nation with one of the best, and the highest longevity, Japan, pays only 8%.

 

[CrusaderFrank]

Just read this article myself. If anything it is more evidence that a public 'option' will transform fairly quickly into the only 'option'. There are plenty of mechanisms that can help drive down the cost of care. National competetion for coverage for one. The malpractice insurance issue is another. That is a huge cost to physicians which drives up the price of services.

That is what I hope for. And your analysis is fundementally flawed. No other nation pays 17% of its GDP for their health system. In fact, the nation with one of the best, and the highest longevity, Japan, pays only 8%.

How many nations lose $60 Billion annually to fraud?

 

[Ravi]

Medicare doesn't have profits at all.

What a pointless article, good work!

Ravi, although Medicare doesn't have or make any profit, it has plenty of fraud and abuse, and no discipline. Insurance companies do all they can to give discipline to seeing that those problems are kept to a minimum.

Saw a guy on TV this AM who said he made 20-million by defrauding Medicare. Said it was easy. Everyday he got up and the first question on his mind was how much money he had made at the end of the previous day. His way was only one of a number of ways to defraud the system.

On top of that, our unimaginative politicians (of one party mainly) will only come up with one way to cut costs, since theyve sworn off competiton; to cut payments to providers, and then to cut services which seem too costly. We should trust them, eh? Booh!

The health care industry as a whole loses $68 billion per year to fraud.

I'm not quite sure what your point is...are you claiming it is easier to defraud Medicare than any other insurance company?

And btw, a lot of the fraud is perpetuated by phony health care companies...in other words, companies that pretend to insure people but don't.