2 ms·
True, but there was at least an attempt before at cost containment, as they could directly capture that revenue and increase their profitability. Now there's bo
by cosmie 8y ago
True, but there was at least an attempt before at cost containment, as they could directly capture that revenue and increase their profitability. Now there's both no incentive for cost containment measures beyond what's needed to hit their maximum allowed profitability percentage and a direct disincentive to spend more than is needed in this area, since it'd eat into the limited amount administrative overheard allowed by the MLR[1].
[1] http://thehealthcareblog.com/blog/2012/02/04/does-obamacare-limit-profits-for-health-insurance-companies-in-your-state/ http://thehealthcareblog.com/blog/2012/02/04/does-obamacare-...