Health Insurance Insider: 'They Dump the Sick'

[SHRED]

Profit margins at all costs.
Because that's how they roll.

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Health Insurance Insider: 'They Dump the Sick'
Retired Health Insurance Executive Blows the Whistle on His Former Industry
By ALICE GOMSTYN
ABC News Business Unit
June 24, 2009

Frustrated Americans have long complained that their insurance companies valued the all-mighty buck over their health care. Today, a retired insurance executive confirmed their suspicions, arguing that the industry that once employed him regularly rips off its policyholders.

"They confuse their customers and dump the sick, all so they can satisfy their Wall Street investors," former Cigna senior executive Wendell Potter said during a hearing on health insurance today before the Senate Committee on Commerce, Science, and Transportation.

Potter, who has more than 20 years of experience working in public relations for insurance companies Cigna and Humana, said companies routinely drop seriously ill policyholders so they can meet "Wall Street's relentless profit expectations."

"They look carefully to see if a sick policyholder may have omitted a minor illness, a pre-existing condition, when applying for coverage, and then they use that as justification to cancel the policy, even if the enrollee has never missed a premium payment," Potter said. "…(D)umping a small number of enrollees can have a big effect on the bottom line."

http://abcnews.go.com/Business/Health/story?id=7911195&page=1

[redqueen]

1. "Wall Street's relentless profit expectations."

Excellent way to put it.

[tinrobot]

3. They said "profit" was good...

Made things really efficient and cheap.

:sarcasm:

[snappyturtle]

2. K&R Now will the Senate do anything with this testimony? nt

:kick: