"A Dream for Insurance Companies? Must Be News To Them"

[Clio the Leo]

A Dream for Insurance Companies? Must Be News To Them

Posted by Dan Pfeiffer on December 16, 2009 at 01:40 PM EST
Recently, a somewhat perplexing new line of argument has emerged about health insurance reform, with some folks suggesting the Senate bill is a "dream" for insurance companies.

If that's the case, though, it must be news to them. The insurance industry has been leveraging its considerable resources in a ferocious effort to defeat this bill, including producing a report the day before the Senate Finance Committee vote that was so misleading the firm behind it had to walk away from it. And that's not surprising, because this bill will finally wrest power away from the insurance industry and put it in the hands of American consumers.

Among the many provisions to end insurer abuses, lower premiums, and hold insurance companies accountable:

Insurance market reforms will prohibit abuses such as denying coverage for pre-existing conditions, charging exorbitant premiums based on gender, age, or health status, dropping coverage when people are sick, and imposing lifetime limits on benefits.

Consumer rights will be enhanced by requiring all insurers to provide effective appeals procedures including outside, independent review of appeals

New insurance exchanges will reduce premium increases by lowering administrative costs and increasing the leverage of individuals and small businesses in this insurance market.

Competition will also be enhanced by providing consumers comparative information on available insurance options giving them the tools to make more informed decisions and drive competition based on value and service.

Insurers will be held accountable for excessive overhead costs fueled by unreasonable executive compensation and profits.

Insurers will also be required to compete against cost-effective national plans selected by the federal Office of Personnel Management.

Wasteful taxpayer overpayments to insurance companies through private Medicare Advantage plans will be eliminated.

A new $6.7 billion annual fee will be levied on insurance companies to ensure that they pay their fair share of coverage costs.

It’s also important to remember that, while none of us are shedding any tears for the insurance industry, the primary goal of health insurance reform isn’t to punish insurers – it’s to give every American the ability to find affordable coverage while controlling the unsustainable cost growth in our current health care system that is crushing families and businesses. On that front, this bill is hugely successful. This bill will bring stability and security to people who have insurance and provide affordable options to those who don’t. It will protect against arbitrary insurance company rules and will lower premiums for American families and businesses. And it will take a big chunk out of the national deficit.

http://www.whitehouse.gov/blog/2009/12/16/a-dream-insurance-companies-must-be-news-them

[Larkspur]

1. Yet the bill still allows the ins cos to jack up rates

The the health ins cos will continue to merge to the point that the Exchange is a joke.

[joeybee12]

2. I know, they hate it so much their stock is going up! n/t

[DJ13]

3. The author might want to look at the insurance companies stock

before making a fool of himself next time.

[andym]

5. Here's a bit of stock advice I found

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x7242338
"Watch Out for a Backlash on the Lieberman Maneuver"

It ends with:
In short, even if the very tame existing version of the health care reform bill passes, the game isn't over."

[atreides1]

4. And when does most of this take effect?

The last I heard not all of the "goodies" go into effect immediately!

How many do not occur until 2013? How much time do the insurance companies have to raise rates?

And what about the mandate requiring people to purchase insurance from private companies, and if they don't they might have to pay a fine or possibly even go to jail?

In order to see the entire picture all information is needed, not just one side or the other using hand picked articles to further their own views.

So let's put all of it on the table, not just what you see, or what someone on the other side of this issue sees!

[Hello_Kitty]

6. Some of his points are decent, others not so much

The good:

Insurance market reforms will prohibit abuses such as denying coverage for pre-existing conditions, charging exorbitant premiums based on gender, age, or health status, dropping coverage when people are sick, and imposing lifetime limits on benefits.

Insurers will be held accountable for excessive overhead costs fueled by unreasonable executive compensation and profits.

Insurers will also be required to compete against cost-effective national plans selected by the federal Office of Personnel Management.

Wasteful taxpayer overpayments to insurance companies through private Medicare Advantage plans will be eliminated.

The not so good:

Consumer rights will be enhanced by requiring all insurers to provide effective appeals procedures including outside, independent review of appeals.

Oh brother. So we're going to let the insurance companies come up with these things. Yeah, I'm sure this provision has them shaking in their boots. :eyes:

Competition will also be enhanced by providing consumers comparative information on available insurance options giving them the tools to make more informed decisions and drive competition based on value and service.

They can already do this now.

A new $6.7 billion annual fee will be levied on insurance companies to ensure that they pay their fair share of coverage costs.

Which will go right back into the premiums they charge us.

[BlueIdaho]

7. As you typed this

The insurance continue to shape the legislation to their liking. The have paid out millions - billions to our congress critters but they will get it all back after the bill they want passes.

[NJmaverick]

8. I see the unrecc squad wants the truth buried

[Clio the Leo]

10. Recs dont matter ....... pageviews do. NT

[VMI Dem]

9. My United Healthcare is sure going up.

What gives?