WASHINGTON, D.C. – The nation's largest health insurer warned Thursday that it may pull out of the Obamacare exchanges after 2016 – forcing more than a half million people to find other coverage – claiming that low enrollment and high usage cost the company millions of dollars.
“UnitedHealth Group’s departure would leave consumers with one less option as competition continues to shrink and health care prices continue to rise,” said Stacey L. Worthy, Director of Public Policy at Aimed Alliance. “Yet, a glance at the company’s third quarter report released last month showed an increase in revenue of 27 percent year-over-year to $41.5 billion. This discrepancy is just another reason why transparency in the health insurance industry is so vital.”
The Alliance for the Adoption of Innovations in Medicine (Aimed Alliance), a not-for-profit organization working to improve health care in the United States, has released a report detailing the true drivers of health care costs in the United States, which details the following points:
Health insurers, industry-wide, have engaged in deceptive practices to hide profits.
Insurers seek billions in federal aid, while simultaneously, premiums and deductibles are skyrocketing.
While consumers are pay more for health care, they are getting less in terms of value and quality.
State and federal legislators must enact new laws to prevent the profiteering practices of health insurers.
Not-for-profit insurers have placed billions of dollars in financial reserves, well above the recommended amount, and paid exorbitant CEO compensation packages. They have then massively raised premiums—by 49 percent in some states—while simultaneouslyasking for billions of dollars in financial assistance from the federal government. This type of action is prevalent among the entire industry rather than simply a few offenders.
To read more about the rising costs of health care, read Aimed Alliance’s report here.
The Alliance for the Adoption of Innovations in Medicine (Aimed Alliance) is a tax-exempt, not-for-profit organization that seeks to improve health care in the United States by supporting the development and utilization of novel, evidence-based treatments. For more information, visit www.AimedAlliance.org and follow @AdoptInnovation on Twitter.
UHC has the lowest reimbursement rates in the market. For Physical Therapy we are reimbursed 25% below Medicare and Medicaid rates. At the same time, patient deductibles and co-ins/co-pay amounts have risen. Some of our most frustrated patients have UHC coverage.
Scott Osburne