Posted on 10/26/2009 9:23:52 AM PDT by NormsRevenge
WASHINGTON – In the health care debate, Democrats and their allies have gone after insurance companies as rapacious profiteers making "immoral" and "obscene" returns while "the bodies pile up."
But in pillorying insurers over profits, the critics are on shaky ground. Ledgers tell a different reality.
Health insurance profit margins typically run about 6 percent, give or take a point or two. That's anemic compared with other forms of insurance and a broad array of industries, even some beleaguered ones.
Profits barely exceeded 2 percent of revenues in the latest annual measure. This partly explains why the credit ratings of some of the largest insurers were downgraded to negative from stable heading into this year, as investors were warned of a stagnant if not shrinking market for private plans.
(Excerpt) Read more at news.yahoo.com ...
when you’re part of the MSM and everybody it in the red, I guess all profits look obscene to you
I’m amazed this came from AP.
I would like to see where the lobbying firms rank!
Local Dallas news carried a story last night about insurance company profits. I had to contain myself from yelling “you lie!” at the TV when they reported an 8% profit margin and that 2008 was a very profitable year (of the major companies, only United profited in ‘08).
Private businesses are accused of making “obscene profits” of 6% for providing a valuable service. OTOH, government produces NOTHING and has a “profit” of 100%.
On Fox this AM, they posted the insurers have lost 2.2% over last year.
On the other hand, the federal government is going to spend 12.4% more next year than this year.
Glenn Beck should drive home the point that the greediest outfit in the USA is government. Business shrinks and tries to cut costs, while the hoggish government just keeps demanding more cash from everyone and then goes out and puts the rest of its spending on our children and grandchildren’s credit cards.
Just got one example to offer:
Martin Luther King hospital in LA ...
Remember how the socialist cried about Exxon's "windfall profits" when Exxon's profits were almost 10%. That idiot Maxine Waters stuck her big foot in her big mouth by threatening to "socialize nationalize" them.
What is truly sad is that there is a number of Americans ignorant enough to fall for this over and over and over again.
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