March 18, 2010 4:45 PM

Health Care Backers Sound Off at Insurers

By
Nancy Cordes
(CBS)  Supporters of health-care reform descended not on the Capitol or the White House Tuesday, but Washington's Ritz-Carlton Hotel, where executives from the nation's largest insurance companies were holding an annual conference, reports CBS News correspondent Nancy Cordes.

Eleven-year-old Marcelas Owens flew to Washington from Seattle.

"No other kid should go through the pain that our family has gone through," Owens said.

His mother Tiffany lost her job and the health insurance that went with it after a prolonged illness caused her to miss work. She stopped going to the doctor and died at age 27 of pulmonary hypertension.

"She ended up passing away because she didn't have the equal rights to health care as some people with more money," Owens said.

Special Report: Health Care Reform

Inside the Ritz, attendees were well aware of the anger directed their way.

"We're never going to have a rational system in this country if we continue the way we are now," Karen Davis, president of The Commonweath Fund, a private foundation that conducts research on a high performance system, told insurers during the conference.

The protesters were taking a page from the president, who has made insurers public enemy number one

"We can't have a system that works better for the insurance companies than it does for the American people," President Obama told a rally outside Philadelphia Monday.

Obama Goes After Washington, Insurers

Now insurers are pushing back. They point out that the average profit margin for health plans is 3.19 percent, compared to nearly 18.67 percent for drug companies.

They argue it's not their greed that's driving premiums up but sharp increases in the cost of hospital stays, outpatient surgery, emergency room visits and specialty drugs.

"You know this whole notion of find a villain, aim the rhetoric and go after them, but that doesn't get anybody covered," said Karen Ignagni, president and CEO of America's Health Insurance Plans.

For anxious Democrats, health insurers are an easy target, especially when they jack up rates by 20 or 40 percent.

Copyright 2010 CBS. All rights reserved.
  • Nancy Cordes

    Nancy Cordes is CBS News' congressional correspondent.

Add a Comment See all 44 Comments
by debinok1 March 11, 2010 5:43 PM EST
All the while, in the background, the food industry is laughing all the way to the bank because they know that the real reason for the majority of health problems in this country are directly related to our poisoned food supply. They also know that nobody is going to force them to change the way they do things for fear of reducing the food supply. Better to have an over-abundance of bad food, than an abundant supply of good food.
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by Cattzen March 11, 2010 10:44 AM EST
What we are witnessing is the end-game of Conservatism. The Conservatives do not want any regulations to interfere with their get rich quick scams on Americans. When the swindle has reached its dynamic peak (as in all pyramid schemes) the bottom falls out and the Swindlers are left with no future income. If the free market was valid, viable, and ethical we would not even have a need for this debate but, the Conservative Agenda has reached its crest and is now harming the overall American Economy.

It?s time for change.
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by stormerF2 March 10, 2010 3:03 PM EST
MArcelas Owens flew from Seattle to Washington,because his mother lost her job,and her health insurance,then stopped going to the Doctor and died. She died because she stopped going to the Doctor not because she lost her health insurance. How can an 11 year old afford to fly to Washington,D.C. ,from Seattle? How over weight was she? did she Smoke? did she exercise? If she died at 27 from Hypertension she apparently did not take care of herself as she should have. Time to accept some personal responsibility.
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by Zann-Zel March 10, 2010 4:23 PM EST
Lets see - no job - no insurance - how many doctors do you know that work for free???
And in your other questions you forgot to include other things like - Was there something passed down in her family health history? Was her condition the result of some work she had done? Was her condition the result of some virus that's floating in the air for everyone (yes everyone, even YOU) to catch?
by I_am_me1953 March 11, 2010 7:02 PM EST
RE: stormer


Ok you ignorant smart arse, please tell me what are the signs, symptoms, and causes of pulmonary hypertension. While you are at it, please tell us what the treatment is and the most common outcomes.

Pulmonary hypertension, that is what killed this kids mother.

Perhaps his aunt or uncle provided air fare.
by bumpedoff1 March 10, 2010 2:23 PM EST
obozo jobs plan the paid poster's on the news sites
Reply to this comment
by rockcutr March 10, 2010 11:21 AM EST
Bottom line, insurance is a fear based business.
Drug companys mask the problems and cure no thing.
Doctors have a practice, because they must practice because they have yet to get it right.
Worry about how much these paper chasers make is just silly. Take responsibility for your own life, eat right, exersise, change your high speed techno crazy life to one of moderation, Blow up your tv, it is all propaganda anyway. As many of our best teachers actually show us how not to live well. It is up to the individual to make a decision. A no vote is still a decision. Choose well within the bounds of your ethic or lack of it.
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by endurorob_5 March 10, 2010 11:15 AM EST
Zann-Zel March 10, 2010 10:55 AM EST
You just don't get it!
Someone has got to hold these insurance companies accountable!
They can't expect us to pay our premiums every single month & then pick and chose when they will do the job we paid them for!


There is a difference between holding companies accountable and giving complete control of the health care industry over to the entity the least capable of running it.
Reply to this comment
by Zann-Zel March 10, 2010 11:48 AM EST
If the bill said "Gov now has total control olf ins companies" don't you think it'd be a bit shorter?! ; )
by AngryMobVoter March 10, 2010 4:38 PM EST
"don't you think it'd be a bit shorter" Actually I'm surprised it is not longer. Government doesn't do anything efficiently and that is especially true with healthcare. It is time to VOTE THEM OUT!!!
by AngryMobVoter March 10, 2010 11:00 AM EST
The insistence by the Administration and Congress that it is acceptable to use "reconciliation" to pass a bill that is so complex, pervasive, and UNPOPULAR WITH THE AMERICAN PEOPLE, raises this issue to an even higher level. To insistence on passing this bill using a process that was never intended to be used in this way, raises this issue to the level where it puts our entire system of government at risk. WE THE PEOPLE must VOTE OUT anyone who votes for this bill in the House or Senate because they will be contributing and approving of a complete abandonment of the principles of our system of government. If you value our system of government as designed by the Founding Fathers, you have a moral obligation to VOTE THEM OUT if they vote for this bill knowing "reconciliation" will be used to pass it against the will of the people and without any bipartisan support. It does not matter if you are for or against this kind of so-called healthcare reform; it does not matter if you are liberal or conservative; it does not matter if you are democrat, republican, independent, or tea party, you must raise up an VOTE OUT anyone that supports this process by voting in favor of this bill. Using "reconciliation" in this way sets a dangerous precedent that could be used in the future to tax as even more or infringe on our freedom even more.

All Americans should be outraged about what is going on with this Administration and Congress. It is time to VOTE THEM OUT before they do any more damage!!! This is no longer about healthcare, this is an issue about the very essence of our system of government. WE THE PEOPLE will VOTE THEM OUT!!!
Reply to this comment
by Zann-Zel March 10, 2010 11:04 AM EST
So you had no problem with the republicans using reconcilliation to pass those tax cuts for the rich?
by AngryMobVoter March 10, 2010 4:36 PM EST
Now that is what we need more class warfare. It was probably a so-called rich person who risked his money to build a business so you could have the opportunity to make a living. Zann-Zel, maybe the reason you have not achieved the American Dream is due to your childishness. What was done in the past has NOTHING to do with what is right or wrong in the present. Using reconciliation to pass so-called healthcare reform against the will of the American people in a completely partisan way is just plan WRONG. It is time to VOTE THEM OUT!!!
by tsigili March 10, 2010 10:42 AM EST
As long as the Insurance Companies can stay in business.....they will rip off the public. After all, that IS what their business, is about.

You want to eliminate that, you MUST have National Health Care, where there is no profit incentive, to raise insurance rates.
Reply to this comment
by ajvw March 10, 2010 10:52 AM EST
with no profit incentive there is NO incentive to do it right
by Zann-Zel March 10, 2010 11:01 AM EST
What about the original incentive to save lives?

That's what the root problem in all this is - MONEY has become more important that a human LIFE!
See all 5 Replies
by babooph March 10, 2010 8:01 AM EST
Wow ,top execs get their corp jets ,parties,yachts,massive salaries,expense accounts,bribe funds for their lobbyists,country club perks& only 4% profit is left for their shareholders-no wonder they send the claims to the Philippines & pay the examiners a percent of what the deny-the art work in the lobby would have to be reduced in the company skyscraper & exec offices...
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by endurorob_5 March 10, 2010 8:59 AM EST
Those perks you speak of come out of the profits not pre profit. By the way our wonderfull ploiticians, including those demonizing the insurance companies get the same type of perks and they are doing a terrible job.
by endurorob_5 March 10, 2010 7:25 AM EST
You people just don't get it. All you Obama health care reform supporters whether you call yourselves progressives, socilists, marxists it really doesn't matter. You seam to be unable to think for yourselves and do whatever D.A. Obama tells you. Insurance is only one part of health care. You also have drug companies which made a special deal with a Obama so you really can't villainize them and health care providers and anf the AMA providews Obama with his backdrop for speaches so you cannot villainize them so Obama says that insurance is the bad guy so you take all your frustrations out on inurance companies. I cahllenge any of you to drop your insurance and pay for all your medical coverage out of pocket then tell me how evil insurance companies are. The fact is that neither insurance compamies, drug companies, nor health care providers are evil. They are just companies and individuals trying to make a profit and earn a living. Doing what has made this country the envy of the world. The only evil in this situation is Obama trying villainize something in order to push his socialist idealogy.
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by IndepTex20 March 10, 2010 10:35 AM EST
What is also quite interesting is Obama is the head of the largest insurer in the USA, maybe the world. Our federal government! He oversees Medicare, Medicaide and Chip. Is he villifying those programs? Is he trying to cut out waste and fraud in those programs?
by Zann-Zel March 10, 2010 10:55 AM EST
You just don't get it!
Someone has got to hold these insurance companies accountable!
They can't expect us to pay our premiums every single month & then pick and chose when they will do the job we paid them for!
See all 44 Comments
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