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Health insurance companies - recession and record profits

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Health insurance companies - recession and record profits

Postby Charles » Sat May 14, 2011 12:37 pm

The sickness of it all...

.............


Health insurers see record profits amid hard times

With gas and food prices going up, doctor says many patients 'are deciding to put some of their health care off'

By Reed Abelson
May 14, 2011

The nation’s major health insurers are barreling into a third year of record profits, enriched in recent months by a lingering recessionary mind-set among Americans who are postponing or forgoing medical care.

The UnitedHealth Group, one of the largest commercial insurers, told analysts that so far this year, insured hospital stays actually decreased in some instances. In reporting its earnings last week, Cigna, another insurer, talked about the “low level” of medical use.

Yet the companies continue to press for higher premiums, even though their reserve coffers are flush with profits and shareholders have been rewarded with new dividends.

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