Thursday
Feb112010
Insurance Providers' Profits Are Up While Coverage Dwindles, Claims New Report
By Sofia Sanchez - University of New Mexico/Talk Radio News Service
A new report compiled by the organization Health Care for America Now finds that leading insurance providers made record profits in 2009 while simultaneously dropping many Americans' coverage.
“These companies increase their profits by 56 percent last year while shedding 2.7 million people from private insurance,” said Richard Kirsch, National Campaign Manager for Health Care For America Now, during a conference call with reporters.
Kirsch says that these companies are spending more money on administrative work than distributing health care to individuals, and notes that these companies have also spent 25 percent more lobbying against comprehensive health care than in 2008.
In light of the report, Rep. Rosa DeLauro (D-Conn.) reiterated the economic case for reforming the health care system.
“We need to press forward to have health insurance reform to provide economic security for American families,” said DeLauro. “We have seen bad behavior come from the health insurance industry."
A new report compiled by the organization Health Care for America Now finds that leading insurance providers made record profits in 2009 while simultaneously dropping many Americans' coverage.
“These companies increase their profits by 56 percent last year while shedding 2.7 million people from private insurance,” said Richard Kirsch, National Campaign Manager for Health Care For America Now, during a conference call with reporters.
Kirsch says that these companies are spending more money on administrative work than distributing health care to individuals, and notes that these companies have also spent 25 percent more lobbying against comprehensive health care than in 2008.
In light of the report, Rep. Rosa DeLauro (D-Conn.) reiterated the economic case for reforming the health care system.
“We need to press forward to have health insurance reform to provide economic security for American families,” said DeLauro. “We have seen bad behavior come from the health insurance industry."
White House Unveils President Obama's Health Reform Plan
In a conference call with reporters on Monday, administration officials said President Barack Obama’s newly released health care reform proposal is basically a modified version of the bill passed by the Senate.
“We are talking about the Senate bill with targeted and important changes..that achieve the President's goals and bridge the gap between the House and the Senate proposals,” said White House Office of Health Reform Director Nancy Ann-Deparle.
Obama's plan includes more generous subsidies for low and middle income Americans to purchase health insurance, and a removal of the Medicaid subsidies that were proposed by Sen. Ben Nelson (D-Neb.) to originally secure his vote. The plan does not include the controversial public option.
The plan also includes a proposal by Sen. Dianne Feinstein (D-Calif.) that would give the Secretary of Health and Human Services the power to block insurance company premium increases if they don’t meet certain criteria.
“We thought it would be a more productive meeting if we brought one consolidated plan to use as a jumping-off point, said White House Communications Director Dan Pfeiffer. “We hope Republicans do the same.”
The unveiling of the plan comes just three days before the President's bipartisan Health Care Summit.