Month: May 2011

Health Insurers Report Record Profit – But Leave 50 Mil Uninsured, Shift Uninsureds’ $49 Bil Unpaid Hospital Bill to Taxpayers

Jon Ponder

art-leechesFour recent health-care related stories in the news, taken together, put the current state of the crisis into perspective:

  • Despite failing at its core mission of providing insurance to everyone, the insurance industry rakes in record profits:

    The five largest insurers — WellPoint, Cigna, UnitedHealth Group, Aetna and Humana — which along with some other competitors boasted a 250 percent return over the past decade, earned over $15 billion in 2010. That’s 22 percent growth over their combined $12.2 billion earnings in 2009.

  • And yet, the insurance megacorps are demanding large premium hikes:

    Yet the companies continue to press for higher premiums, even though their reserve coffers are flush with profits and shareholders have been rewarded with new dividends. Many defend proposed double-digit increases in the rates they charge, citing a need for protection against any sudden uptick in demand once people have more money to spend on their health, as well as the rising price of care.

  • These companies have rigged the system so that one-sixth of the U.S. population can’t afford insurance:
    […]

Newt Backed Mandated Health Care

Buck Banks

Newt Gingrich has publicly backed mandated health insurance (President Obama’s preference) in two books:

From his 2008 book, Real Change: “Finally, we should insist that everyone above a certain level buy coverage (or, if they are opposed to insurance, post a bond). Meanwhile, we should provide tax credits or subsidize private insurance for the poor.”

From his 2005 book, Winning the Future: “You have the right to be part of the lowest-cost insurance pool and you have a responsibility to buy insurance… We need some significant changes to ensure that every American is insured, but we should make it clear that a 21st Century Intelligent System requires everyone to participate in the insurance system.”