Quote from elkpark
Exactly -- for-profit corporations in this country (regardless of what business they're in) have a fiduciary responsibility, BY LAW, to make the highest profits they (legally) can for their shareholders. If they don't (if they operate in ways that don't maximize their profits), they can be sued by the shareholders. The way health insurance companies do this is by taking in all the premiums they can, and paying out as little as possible for actual healthcare for their policy holders. Why are we surprised that this is what we get, when this is the model we've had in place for decades?
Unfortunately, I agree that I'm confident the insurance companies will find a way around the new restrictions and regulations put into the healthcare "reform" bill, which was mostly a give-away to the insurance companies instead of real, meaningful reform.
And I hope that some of the many people who were so upset and opposed to even the mild "reforms" that were proposed and eventually passed will see the reporting on this and rethink their position.
yup, this is what happened when it (insurance) went "for profit" the idea behind "group risk" (i am sure there is a better term) was to spread the cost out over a large group, some of which would never need any coverage, most of which would need little thereby having enough to cover the few who would need a lot.....with minimal left over for administrative costs.....but as elk has pointed out, when it becomes "for profit" the need to make money becomes prime......