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> I saw the unrelenting pressure investors put on insurers to spend less paying out claims Once your org has made bank, owns a chunk of the market, margins are
by jasdi 2y ago
> I saw the unrelenting pressure investors put on insurers to spend less paying out claims
Once your org has made bank, owns a chunk of the market, margins are stable, and things are coasting and self sustaining push the rent collecting investors out.
See how Disney recently dealt with Nelson Peltz.
Thats the playbook. Don't be a Robot reciting but but I have to please the investor till the heat death of the universe.
- fakedang 2y agoIt's not easy considering most F500's have Blackrock, Vanguard, State Street and JP Morgan as their largest investors, simply by virtue of being a constituent of their index funds.
- jasdi 2y ago[flagged]
- nradov 2y agoThis comment is simply uninformed and reflects a misunderstanding of how the health insurance industry operates. Many of the largest commercial payers such as some of the Blue Cross Blue Shield Association licensees are non-profit. They literally have no investors. The non-profit and for-profit insurers have similar claim approval rules. Due to the minimum medical loss ratio rule, insurers can actually make more profit by paying out more claims. The actual pressure to reduce total medical expenses comes primarily from large self-funded employers, not from investors. If we can break the link between employment and health plan coverage that would help to better align incentives. https://www.cms.gov/marketplace/private-health-insurance/medical-loss-ratio https://www.cms.gov/marketplace/private-health-insurance/med... https://www.sensible-med.com/p/the-entire-healthcare-system-is-broken https://www.sensible-med.com/p/the-entire-healthcare-system-...