The 2009 financial reports from the nation’s five largest insurance companies reveal that:
The firms made $12.2 billion, an increase of $4.4 billion, or 56 percent, from 2008.
Four out of the five companies saw earnings increases, with CIGNA’s profits jumping 346 percent.
The companies provided private insurance coverage to 2.7 million fewer people than the year before.
Four out of the five companies insured fewer people through private coverage. UnitedHealth alone insured 1.7 million fewer people through employer-based or individual coverage.
All but one of the five companies increased the number of people they covered through public insurance programs (Medicaid, CHIP and Medicare). UnitedHealth added 680,000 people in public plans.
The proportion of premium dollars spent on health care expenses went down for three of the five firms, with higher proportions going to administrative expenses and profits.
NOW! Blog » Report: Insurers enjoy record-breaking profits as they cut 2.7 million people from their rolls
AUSTAN GOOLSBEE: I think the world vests too much power, certainly in the president, probably in Washington in general for its influence on the economy, because most all of the economy has nothing to do with the government.
Thank you, Quazi!
Insurance companies have to have actual money to pay actual claims. They have to be prepared for a rainy day, which is what the concept of insurance is in the first place.
I realize, in the liberal stimulus world, you don't actually have to HAVE money to spend trillions of it. But in the insurance world, you can't pay claims with money you don't have.
Last edited by The_Patriot; 10-07-10 at 11:18 AM.