Insurers, Reaping Huge Profits, Hike Rates

(CBS)  As the battle over health care reform resumes this week, Democrats remain split over whether a bill will pass before the end of the month. But the White House is now ramping up its case that time is money and Americans who need insurance are the ones getting stuck with the bill as CBS News correspondent Sharyl Attkisson reports.

As Obama administration officials push the president's health care plan, exhibit A is a stunning series of rate hikes by private insurance companies.

Special Report: Health Care Reform

"15,000 people a day lose their insurance, and some of those folks are being actually priced out of the marketplace," said Health and Human Services secretary Kathleen Sebelius.

In fact, major insurers are seeking premium hikes for individual policies - people not covered through work: 56 percent in Michigan, more than 25 percent in California, and 20 percent or more in Oregon, Maine, and Connecticut. And double digit increases are completed or pending in at least eight other states.

That's why the president has often co-opted the maddening rate hikes to make the case for health care reform, mentioning them in this weekend's address and in a Super Bowl interview with Katie Couric when he noted that "one of the major insurers in California just announced in the individual market they are increasing their premiums by 39 percent."

That company is Anthem Blue Cross, and Ilene Lisak is one of the unlucky customers. The company notified her by letter that her $525 a month premium is going up to $708, an almost 35 percent hike.

"I was so overwhelmed. I just started crying," Lisak said.

Other customers recently told their stories to congress.

"This is outrageous. My benefits have not improved in any way, and I don't go to the doctor that often," said Jeremy Arnold

With so much controversy, Anthem has been forced to put off rate hikes until May 1, while state officials review them. Anthem's parent company, Wellpoint, made $380 million profit in just the fourth quarter last year. But executives argue they have no choice but to raise rates.

"Hospital costs are going up over 11 percent. Pharmaceutical costs are going up over 13 percent," said Wellpoint executive vice president Brad Fluegel. "That's what we really need to be focused on."

[KeithDrippingSprings]

If any of you believe that either party are going to do something for you you are absolutely out of your mind. Both parties are sold out. What ever they do will be mandated by whoever paid their way to Washington and that ain't you. So, whoever has the most lobbyist with the deepest pockets will be taken care of the best.

As the contributions go down the influence goes down and your sold out congressman and senator will slip a little more money in their pocket and you will be stuck with something the corporate bosses have dictated to them in some back room somewhere.

[Confidential416]

This is outrageous! If Washington does not get this under control and quickly none of them deserve to be re-elected!

[gfulmore]

The costs of health care in our country is bringing our economy to its knees. Only those in the health care industry are coming ahead. We need reform, and we need it soon! We simply HAVE to find a way to begin control the overall costs of health care, based on quantity and outcomes, not on quanity and unchecked billing. It's now official that more than half of the health care in the country is paid for by government: federal, state or local. Half! That means that WE are paying the bulk of the cost, whether we are racking up bills ourselves or not. We are all in this together. Let's get health care reform passed. Let's get it done!

[IndepTex20]

Let's not........at least not with the bill as it is.

[johneustor]

If there was no money, and we did not charge each other to live, we would have already found the cure to every disease that plagues our society. Why? Because there would be no lack of funding to find the cure. If we didn't waste so much time on money; earning it, protecting it, spending it, paying bills, etc., we would have the time to dedicate to the more important problems in life....finding the cures we need.

Do you want to know what the solution is to every problem that humanity faces? Eliminate Money and need to charge each other to live. Make human rights the number one priority and make this existence a free one. Let us each work 2 hours a day to make one good product we can all share and make it free to live. Eliminate the need to profit and compete with each other. Eliminate the need to waste my existence making , spending, chasing after and protecting money so I can live. There would be no reason for wars, murders, crime, etc. There would be no crime because there would be no need for it because everything would be free. Just like the heaven we are expecting at death, except we get to enjoy it now instead of when we are DEAD.

http://www.myspace.com/jaychijken

[IndepTex20]

Hey John, don't be a bogart, pass that thing over here man.

[jt92202]

That would be a Marxist, move to Venezuela if you want that! The US is a republic not socialist!

[esscape]

The GOVERNMENT is taking in huge profits, spending much more, and growing by the day under obama and the Democrats

Sweet heart deals, back room payoffs, and Cadillac health care plans - all paid for by you!!

HA HA

[wjksea]

hateisafourletterword March 8, 2010 10:10 AM EST
Using this logic, last year Humana made around $1 Billion. GE made about $11 Billion.
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I can say this about GE. It produces tangible products that CAN and are EXPORTED, IMPORTED and sold around the world.

The health insurance companies do not produce and tangible exportable product. If they do start exporting something, it will be the premium payer's money used to overthrow with propaganda the single payer health plans of other nations. I don't think the people of say Germany, France, Italy, Greece etc. will tolerate this BS from those who aspire to be kings of global capital.

[lucilioness]

I HOPE EVERY DEMOCRAT OR REPUBLICAN RUNNING FOR RE-ELECTION WHO VOTES AGAINST THIS BILL IS VOTED OUT OF OFFICE BY THE AMERICANS WHO ARE PAYING FOR THE CADILAC INSURANCE BENEFITS THAT THEY AND THEIR FAMILIES SO RICHLY ENJOY!!

[chitown639]

by hateisafourletterword,
....as it sounds like you would check on my payments prior to sending help. Compassionate people do not do this. You know - conservatives!

_____________________________________________________

Of course I would check your payments prior to sending help....because like insurance companies, I'm in business to make a profit, not help you in your time of need....

[Chapeltepec]

Why does the press buy into Ms. Sebelius's talking points? She reads from the Democratic left's playbook everytime she opens her mouth. Both she and Mr. Obama throw out these outrageous "statistics and figures" knowing the fawning and lazy press will never even bother to check on them.Shameful! Edward R. Murrow, where have you and Joe Dimaggio gone?

[chitown639]

by Chapeltepec,
she and Mr. Obama throw out these outrageous "statistics and figures" knowing the fawning and lazy press will never even bother to check on them.Shameful! Edward R. Murrow, where have you and Joe Dimaggio gone?
_______________________________________________

Edward R. Murrow and Joe Dimaggio are both deceased....I'm pretty sure the "lazy press" reported their deaths. Just because the messenger isn't a white male doesn't mean you shouldn't trust the message.....

[chitown639]

Maybe providing health insurance for profit isn't such a good idea. It's like if we decided to privatize all our fire departments, then if you had a fire at your home the private fire department won't put out the blaze if you're not covered under their fire protection plan or if you're behind in payments. Or maybe your plan only covers the kitchen and bedrooms, but not your living room which is currently on fire. When the private fire department arrives at your home, make sure you have cash on hand or a credit card to pay you co-pay to the fire chief. Of course, fire rescues and auto extrications would cost you a great deal extra, specialist's premiums and fees, you know. Those who couldn't afford fire department insurance would just have to fend for themselves, rescue their own selves out of burning buildings and overturned cars......

[hateisafourletterword]

Bad analogy. We used to have private in our area. You never had to prepay. First of all the city had a contract for the base services. You received a bill after the ambulance use and whatever insurance did not cover was your responsibility. You were never denied their services even if you could (OR WOULD) not pay.


Stop the scare tactics please and I am glad you do not represent me or work at these companies as it sounds like you would check on my payments prior to sending help. Compassionate people do not do this. You know - conservatives!