Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Private Insurers also lose big time with the disabled, those born with congenital problems, genetic based illnesses and those with chronic illnesses. Mental Illness in another gotcha for the industry.
Yeah, but they make more than enough to cover that expense with the pool of healthy people. Now you know why they do not want to insure anyone with a prior illness.
The only segment where insurance can lose money is with the elderly. And the elderly are insured by the government. What a sweet deal for the private sector!!!!!!
Yes, most Dems are in the pocket of the healthcare lobby. Did you watch the video?
Quote:
Originally Posted by mwruckman
Private Insurers also lose big time with the disabled, those born with congenital problems, genetic based illnesses and those with chronic illnesses. Mental Illness in another gotcha for the industry.
Both wrong. Insurers lose money when premiums are insufficient to cover costs. With a sufficient premium an insurer can make money on the elderly, disabled, and chronically ill and with an insufficient premium can lose money on the healthy.
They haven't removed the middle man, they've just vertically integrated to fill both roles. An insurer serves a real function -- pay claims, manage medical costs, build and contract with provider networks, take risk (which implies both financial tasks and holding a capital cushion), and so forth. All those things are still being done, they're just being done in house. The savings don't come out of those administrative functions, they come out of incentive alignment -- behavior at the ground level changes when provider profits come as a result of controlling costs rather than driving volume.
Been to a grocery store in the last week? Newsflash this is exactly what you are doing when you walk through the doors. They don't grow the produce in a greenhouse in the back of the store and for good reason. They buy it wholesale and then sell it to individuals retail for a profit which is buried in the retail price.
I believe in capitalism and I do not mind a profit. But, these companies want a monopoly and have the biggest lobby in DC to prevent competition from a single payer system. This would put a serious dent to their profit margin------they are fearful of competition.
Both wrong. Insurers lose money when premiums are insufficient to cover costs. With a sufficient premium an insurer can make money on the elderly, disabled, and chronically ill and with an insufficient premium can lose money on the healthy.
The premiums are way too high and keep raising. We had a Real Estate crisis a few years ago. I predict a health insurance crisis in the next 5-10 years. And the drug prices to come down to what Canada pays.
I believe in capitalism and I do not mind a profit. But, these companies want a monopoly and have the biggest lobby in DC to prevent competition from a single payer system. This would put a serious dent to their profit margin------they are fearful of competition.
Their margins are already low and the companies already compete with each-other -- maybe in some smaller states there is a monopoly situation but in the country as a whole, not really. No one in any industry wants the government to start shrinking the private market so that's pretty standard. Anyway direct government payment for medical services in this country has a really, really bad track record for cost containment. There's a reason such a large proportion of government medical spending is channeled through insurers and managed care organizations -- and that reason isn't lobbying, it's that it saves money.
edit:
Quote:
Originally Posted by Julian658
The premiums are way too high and keep raising. We had a Real Estate crisis a few years ago. I predict a health insurance crisis in the next 5-10 years. And the drug prices to come down to what Canada pays.
Premiums are driven mainly by the cost of medical care. Trend has been muted in recent years actually (although it is starting to rise again). Changing the payer isn't a magic wand which drives down doctors' and nurses' salaries and drug company margins. It doesn't magically change population health or get people to adhere to their prescribed drug regiment either. You need to do concrete things, like give a reminder call to someone who didn't fill their insulin prescription, stop duplicate diagnostic testing, contract lower prices for medical services, encourage generic drug prescriptions, and so forth. That many people find the current costs too high doesn't mean they will go down -- you need a mechanical way to get from A to B, and if you don't have one, you won't.
Last edited by ALackOfCreativity; 09-11-2015 at 11:28 PM..
I believe in capitalism and I do not mind a profit. But, these companies want a monopoly and have the biggest lobby in DC to prevent competition from a single payer system. This would put a serious dent to their profit margin------they are fearful of competition.
There is no competition in a single payer system. Thus the term single.
The premiums are way too high and keep raising. We had a Real Estate crisis a few years ago. I predict a health insurance crisis in the next 5-10 years. And the drug prices to come down to what Canada pays.
Not possible. Obamacare is going to lower premiums and save us all money. Obama said so.
Their margins are already low and the companies already compete with each-other -- maybe in some smaller states there is a monopoly situation but in the country as a whole, not really. No one in any industry wants the government to start shrinking the private market so that's pretty standard. Anyway direct government payment for medical services in this country has a really, really bad track record for cost containment. There's a reason such a large proportion of government medical spending is channeled through insurers and managed care organizations -- and that reason isn't lobbying, it's that it saves money.
Would you be OK with government sponsored Health Insurance plan ran by a private company hired by the feds?
This is the biggest fear of the private side because they know a large portion of the public would buy the cheaper government sponsored plan. I am not talking about getting anything for free or a VA type system. All I am saying is a federal plan administered by a private company under a contract. And if the plan is administered correctly they will have a surplus at the end of the year that can be re-invested back to lower premiums.
NO ONE IS ADVOCATING THE DISAPPEARANCE OF THE PRIVATE SYSTEM. They are welcomed to compete.
P
Quote:
remiums are driven mainly by the cost of medical care.
Yes, but they are also driven to maintain a profit margin.
Quote:
Changing the payer isn't a magic wand which drives down doctors' and nurses' salaries and drug company margins.
The salaries of doctors only account for about 8% of the total health care expenses. If the doctors worked for minimum wage the expenses would still be quite high.
Patients can afford the doctor's fee, but cannot afford the cost of drugs. Why are drugs cheap in Canada and not in the USA? Congress will not allow this because they are in the pocket of the lobby.
Quote:
It doesn't magically change population health or get people to adhere to their prescribed drug regiment either. You need to do concrete things, like give a reminder call to someone who didn't fill their insulin prescription, stop duplicate diagnostic testing, contract lower prices for medical services, encourage generic drug prescriptions, and so forth. That many people find the current costs too high doesn't mean they will go down -- you need a mechanical way to get from A to B, and if you don't have one, you won't.
I agree, there is waste in this area that is slowly restrained and may get better when all records are in a cloud and Dr. Watson can take a look. We also need to get rid of the lawyers that thrive on frivolous lawsuits.
Do you know the pharmas actively prevent the sale of generic drugs to maintain a monopoly?
[MOD CUT/copyright violation]
Last edited by Ibginnie; 09-12-2015 at 08:53 AM..
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Democrats are the only ones who voted for their private insurance mandates.
