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“I would hope it's not widespread fraud across all of those companies.” Assume it is. It’s the normal way of doing business. Deny things and hope that most peo
by spaetzleesser 6y ago
“I would hope it's not widespread fraud across all of those companies.”
Assume it is. It’s the normal way of doing business. Deny things and hope that most people will give up.
- lotsofpulp 6y agoIf it is fraud, then it's not manifesting in outsize profits for insurance company. Almost all premiums go towards paying for benefits, and they are left with ~5% or less in profit. The executives are not earning outsized compensation compared to executives at other large companies, there is no army of people with FAANG salaries, so who is the fraud benefiting? This is all public information per their SEC filings. You can drop the compensation for all the bosses down to zero and it wouldn't move the needle on how much more healthcare they could be providing the insureds.
- alphabettsy 6y ago5% or less is still a massive amount of money. Cigna alone posted annual profits of $122 billion in the same year that General Motors and Ford combined made less than $7 billion.