Obamacare causes insurance company to lose money
Finding out what’s in it: For the first time in 15 years, Blue Cross/Blue Shield of North Carolina will lose money in 2015 due to Obamacare.
Blue Cross and Blue Shield, the state’s largest health insurer, said Friday that it posted its first financial loss in 15 years as a result of insuring high numbers of older and sicker people under the Patient Protection and Affordable Care Act. The Chapel Hill organization signed up 257,704 people under the federal health care law, which requires insurers to provide coverage regardless of a customer’s health condition. New enrollees last year swelled Blue Cross’s covered membership to 3.91 million people, and boosted revenue by 25 percent to an all-time high of $8 billion.
But steep medical claims – for hip and knee replacements, heart procedures, specialty drugs and other costs – drove up medical claims from $5 billion in 2013 to $6.4 billion in 2014. Blue Cross also paid $156 million in ACA-related fees, a new cost for the company.
Federal subsidies under Obamacare are supposed to cover these loses, but then we must ask where is the bankrupt federal government going to get this money? In the end, someone is going to go bankrupt and we will all be worse off.
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In 2020 when the world panicked over COVID I wrote that the panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Only in the past year have some of our so-called experts in the health field have begun to recognize these facts.
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Finding out what’s in it: For the first time in 15 years, Blue Cross/Blue Shield of North Carolina will lose money in 2015 due to Obamacare.
Blue Cross and Blue Shield, the state’s largest health insurer, said Friday that it posted its first financial loss in 15 years as a result of insuring high numbers of older and sicker people under the Patient Protection and Affordable Care Act. The Chapel Hill organization signed up 257,704 people under the federal health care law, which requires insurers to provide coverage regardless of a customer’s health condition. New enrollees last year swelled Blue Cross’s covered membership to 3.91 million people, and boosted revenue by 25 percent to an all-time high of $8 billion.
But steep medical claims – for hip and knee replacements, heart procedures, specialty drugs and other costs – drove up medical claims from $5 billion in 2013 to $6.4 billion in 2014. Blue Cross also paid $156 million in ACA-related fees, a new cost for the company.
Federal subsidies under Obamacare are supposed to cover these loses, but then we must ask where is the bankrupt federal government going to get this money? In the end, someone is going to go bankrupt and we will all be worse off.
Readers!
Please consider supporting my work here at Behind the Black. Your support allows me the freedom and ability to analyze objectively the ongoing renaissance in space, as well as the cultural changes -- for good or ill -- that are happening across America. Fourteen years ago I wrote that SLS and Orion were a bad ideas, a waste of money, would be years behind schedule, and better replaced by commercial private enterprise. Only now does it appear that Washington might finally recognize this reality.
In 2020 when the world panicked over COVID I wrote that the panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Only in the past year have some of our so-called experts in the health field have begun to recognize these facts.
Your help allows me to do this kind of intelligent analysis. I take no advertising or sponsors, so my reporting isn't influenced by donations by established space or drug companies. Instead, I rely entirely on donations and subscriptions from my readers, which gives me the freedom to write what I think, unencumbered by outside influences.
You can support me either by giving a one-time contribution or a regular subscription. There are four ways of doing so:
1. Zelle: This is the only internet method that charges no fees. All you have to do is use the Zelle link at your internet bank and give my name and email address (zimmerman at nasw dot org). What you donate is what I get.
2. Patreon: Go to my website there and pick one of five monthly subscription amounts, or by making a one-time donation.
3. A Paypal Donation or subscription:
4. Donate by check, payable to Robert Zimmerman and mailed to
Behind The Black
c/o Robert Zimmerman
P.O.Box 1262
Cortaro, AZ 85652
You can also support me by buying one of my books, as noted in the boxes interspersed throughout the webpage or shown in the menu above.
This is the calculated beginning of the end for free enterprise and market based business in the healthcare market place and is the road to single payer socialism if the un Constitutional law passed only by the Democrats is not stopped. Right on schedule, 21 months and change left to accomplish it if the Republicans who now control 2/3rds of the government do not do what MUST be done.
And if they do not stop it we can all assume that the powers that be in the Republican party were complicit.
And just like the timely and opportune announcement about “lone wolf” Jihadi’s being discovered in America just before the vote on the DHS funding bill which just happens to include the presidents un Constitutional illegal alien executive order this media news piece is strategically let out on the catastrophic results that will occur (and the administration will guarantee it) if Obamacare is mortally wounded in coming weeks in the Supreme Court.
http://www.politico.com/story/2015/03/supreme-court-obamacare-white-house-115631.html?hp=rc2_4
They are playing their advantage to the hilt.
It’s all about the “crowding out” of the free market system thereby allowing monopolistic government entites to overregulate all profist out of privately owned, independently operated business leaving only “fair minded” government agencies with the politically correct democrat voting bureaucrats to rule over nationalized industries.
Are they really losing money or is this an accounting gimmick like GE used to avoid paying taxes.
Are they losing money??…just ask the typical family practice doctor if he can cover his/her overhead based on the medicaid reimbursment schedule.
The big insurance companies like Blue Cross blue Shield et al are too big to fail and they have been in on this Obamacare scam as well. They willingly accept Obamacare regulations as it means more business due to mandated policy holders forced to buy their “private” healthcare insurance policies through exchanges. Obamacare guarantees these big insuance companies captive customers with no downside loss because they’re too big to fail.
Here Here, I agree.
0bama gave the insurance companies $3 billion to cover their losses. Congress gave him no authority to do so, he just did it.
Obamacare has reduced growth in spending on healthcare?
http://www.economist.com/news/united-states/21645855-growth-americas-health-care-spending-slowing-will-obamacare-cut-costs