Who knows how to make money in the medical insurance market place? The answer is the big insurance companies that deal with health insurance as their main business. They are not happy with Obamacare.
[Source: If UnitedHealth Can’t Afford ObamaCare, Then Who Can? By Sally Pipes]
UnitedHealth Group, an industry giant, expects to lose more than $700 million this year alone due to their involvement with Obamacare. The UnitedHealth Group CEO expressed “regret” (I’m confident he used more colorful nouns in private) over his company’s decision to enter Obamacare’s exchanges. “It was for us a bad decision,” he noted. “In retrospect, we should have stayed out.”
Aetna’s been losing money on its exchange business and is already planning its exit from several state exchanges in 2016. Anthem cut its earnings forecasts, blaming low enrollment. Overall, 30 nonprofit Blue Cross and Blue Shield affiliates nationwide barely broke even in the first half of 2015.
All told, insurers lost $2.5 billion in 2014 alone, according to consulting firm McKinsey & Co. How long will it be before insurers come to the same conclusion as UnitedHealth — that such losses are not sustainable?
[Source: Surprise: US Healthcare Spending Accelerates at Fastest Rate in Years, by Guy Benson]
Worse still, these losses fly the face of rapidly increasing healthcare costs. We were promised that Obamacare would “bend the health care cost curve down.” That was a major selling point before passage. That is also not working out so well. Anyone with a brain could intuit that a massive government program would never be the catalyst for lesser spending. And, indeed, that was the result.
A government report says U.S. health care spending last year grew at the fastest pace since President Barack Obama took office, driven by expanded coverage under his namesake law... After five years of historically low growth, national health expenditures increased by 5.3 percent in 2014 (a mere 25 times the CPI inflation rate), reaching $3 trillion, or $9,523 for every man, woman and child.
The writing is on the wall, as the saying goes. Frankly, the President can veto every measure that Congress puts forward to end Obamacare. It matters not. The harsh, hostile, and unforgiving hand of economics will collapse Obamacare. While the Democrat Party will not override their President’s veto, neither will they throw Obamacare a rope as it sinks below the surface!
And thanks to PC and CAG for sending this to me.