Quotes for Medicare advantage: Good news for shareholders and bad news for consumers? 3
Why did they do it? Remember that your top priority is not to provide medical insurance and patient care, but to make a profit. And if $7 billion in profits is insufficient for its shareholders, UNH needs to go (or leave) and find a place where they can make bigger profits. Obviously, healthcare companies need to make a profit in the current climate, the question is how many earnings and how do they make those gains?
Are profits from car sales different from profits from saving (or not saving) lives? Prior to Obama care, insurance companies could reject people who they considered an unacceptable risk.It encourages innovation in part due to the inherent competition. This is quite impressive. But when it comes to health care, the system seems to fail.
You may recall that in 2016 UNH was withdrawing from certain Obama care-related markets. Forbes reported that “UnitedHealth started in 2017 selling individual coverage under ACA in just a few states after significantly reducing its presence on Obama care.” That said, UNH saw promise to offer coverage under medicare advantage plans, which was extended to 31 states under ACA.
When a medicare advantage company rejects someone with a pre-existing condition, they get rich by refusing to pay for those in need. This makes sense from a profit point of view, but not from a health perspective.It is impossible to divide and use them without any consequence.Spending time calling the insurance company can save you a lot of money.
Other pharmacy – other price
A patient with an insurance plan can get their medicines at different prices from different pharmacies in the area. The difference may be small, saving a few cents, but it can also be significant. For example, 60 Adderall pills will cost about $45 at Walgreens and about $79 at Kmart. That means $34 saved by simply moving to another pharmacy.If this example is not shocking, imagine the amount of money that would be saved if multiple medications were prescribed.
Would UNH post lower profits if it provided better coverage or less expensive plans? The simple answer seems to be yes. From what I’ve seen, there doesn’t seem to be much competition, since all major healthcare providers charge similar (and confusing) fees. When I compare rates and carrier coverage each year, including the dizzying array of seemingly similar plans, they all seem comparable. But this is not the case when comparing auto and home insurance coverage, there is usually a large disparity, probably due to competition and transparency. Is there really any real competition between medicare advantage companies?