Brain
Posts: 3792
Joined: 2/14/2007 Status: offline
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Sometimes you need the federal government to take action to correct problems. “No one claims to know how often policies are canceled -- in large part, congressional investigators say, because insurance companies are regulated by a patchwork of state laws and policies. But the practice is common enough to spur lawsuits and state regulatory action. “ The article below is more like the real reason the state of California is having problems with its budget deficit. It’s because private companies get away with this unethical garbage in order to make profits. They keep all the healthy people as customers and take their premium money and then if somebody gets sick they get rid of those people because they cause too much and then the state has to pay for them in the emergency rooms. That’s the private sector for you, that’s the ethical way they make their money. As 'Rescissions' Spawn Outrage, Health Insurers Cite Fraud Control - washingtonpost.com In the past 18 months, California's five largest insurers paid almost $19 million in fines for marooning policyholders who had fallen ill. That includes a $1 million fine against Health Net, which admitted offering bonuses to employees for finding reasons to cancel policies, according to company documents released in court. "This is probably the most egregious of examples of health insurers using their power and their resources to deny benefits to people who are most in need of care," said Gerald Kominski, associate director of the Center for Health Policy Research at the University of California at Los Angeles. "It's really a horrendous activity on the part of the insurers." http://www.washingtonpost.com/wp-dyn/content/article/2009/09/07/AR2009090702455.html?hpid=topnews
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