Last month, testimony in front of the U.S. Senate Committee on Commerce, Science and Transportation by a former health insurance insider named Wendell Potter made news even before it occurred: CBS NEWS headlined: “Cigna Whistleblower to Testify.” After Potter’s testimony the industry scrambled to do damage control: “Insurers defend rescissions, take heat for lack of transparency.”
In his first extended television interview since leaving the health insurance industry, Wendell Potter tells Bill Moyers why he left his successful career as the head of Public Relations for CIGNA, one of the nation’s largest insurers, and decided to speak out against the industry. “I didn’t intend to [speak out], until it became really clear to me that the industry is resorting to the same tactics they’ve used over the years, and particularly back in the early ’90s, when they were leading the effort to kill the Clinton plan.”
[…]
Looking back over his long career, Potter sees an industry corrupted by Wall Street expectations and greed. According to Potter, insurers have every incentive to deny coverage — every dollar they don’t pay out to a claim is a dollar they can add to their profits, and Wall Street investors demand they pay out less every year. Under these conditions, Potter says, “You don’t think about individual people. You think about the numbers, and whether or not you’re going to meet Wall Street’s expectations.”
Admittedly, this is not exactly a stunning revelation. But it is refreshing to see the industry quake a bit when the truth is told out loud. Lots of links to videos and transcripts on the site.
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Long thread to join late. Isn’t the “primary” issue here what “model” healthcare should be delivered under? Either free market or government? And isn’t it obvious that healthcare is a type of service that does not perform well under free market principles which is why so much of it is currently provided by the government?
BUT we are trying to ride both horses and suffering from it. All the “profit” and overhead clearly reported by for profit enterprises is WASTE and subject to capture when the same services are provided for by the government.
So, the USA spends twice the amount per capita on healtcare but winds up tied with Guatamala #34 on the healthcare results list. Life expectancy/child survival falling to third world rates.
Nothing to be proud of. Not a “system.”
Can’t we do better?
#13, SL,
Are you saying that under Bush, the military didn’t take care of its own?
#65, heh, the greed is good mantra is only clever in the context of being from a bad 80’s movie.
And (very basically put) “trickle down economics” is a reference to the fiscal policy of cutting taxes on the upper tax brackets to achieve a higher rate of employment, and more wealth for the people in the lower ones. Which has nothing to do with anything I’ve said.
“I’m giving you good material here…”
I know, I’m just not interested enough to try that hard.
#23, SL,
There would be significantly fewer doctors/nurses/dentists around if there wasn’t the motivating incentive of the monetary compensation they receive for what they do.
Bullcrap. Many areas have physician and nurse shortages even though there is a premium paid. Our own little neck of the woods here has a dentist shortage.
#68
Err – guess you didn’t see the movie. As it describes your philosophy on you’re doing good. You should go see it – unless you can’t be arsed. Presumably with all that good you’re doing.
Hell don’t try big guy. I don’t want to get in the way of all the goodness.
#69, Bullcrap. Many areas have physician and nurse shortages even though there is a premium paid. Our own little neck of the woods here has a dentist shortage.
So you are just attempting to prove my point that people aren’t lining up to be doctors and nurses because they would rather make more money elsewhere? Money before health, disgusting, I agree…
#39, guyver,
And yet according to a Rasmussen poll, 70% of Americans who have health care rate it as good or excellent. Throw in people who think their health care is fair brings that up to around 93% if I recall correctly. Sounds like a lot of satisfied customers or lots of sad people.
A bullshit statement.
70% have good plans, compared to having none at all. You linked to that survey before and if I remember correctly, 19% didn’t have any insurance and weren’t included in the results.. If you had of asked the woman in the video to rate her insurance before her illness, she might very well have said “good”
Hey Sea Lawyer, why don’t you answer the question that Guyver’s been dodging: Every other civilized nation in the world has figured out how to provide reasonable healthcare to all their citizens, regardless of their ability to pay. So what do you think makes America different? Are we too stupid to figure it out? Or maybe you think only people who can afford healthcare should get it? Enlighten us, smart guy.
#39, guyver,
You also have no moral / ethical right to dictate to any doctor what he / she may charge for their services. Forcing doctors to comply with government pricing standards is nothing more than legalized mob rule.
Yet when an insurance company dictates what the doctor will receive or what it will pay a dentist or hospital that is OK.
Under my plan my doctor may only charge $48 for a 10 minute visit and I pay $20 as a co-pay of that. If it is more than 10 minutes he is expected to get prior authorization.
#73, well Fido, since your question presupposes that it is the responsibility of “civilized” governments to provide “reasonable healthcare to all their citizens,” and I don’t agree, then what exactly is there to dodge?
#71, SL,
Way to show how to lose an argument.
You said,#23, SL,
There would be significantly fewer doctors/nurses/dentists around if there wasn’t the motivating incentive of the monetary compensation they receive for what they do.
So I replied
Bullcrap. Many areas have physician and nurse shortages even though there is a premium paid. Our own little neck of the woods here has a dentist shortage.
to which you reply
So you are just attempting to prove my point that people aren’t lining up to be doctors and nurses because they would rather make more money elsewhere?
What happened to the current incentive for doctors, dentists, and nurses now? You claim they need the incentive to become doctors in the first place. So maybe the problem is actually something else.
Bobbo, being #34 already means you are not at 3rd world rates. Except for Africa, all the countries are about the same results wise, maybe 68 years instead of 85, and infant mortality at 10% instead of 2%.
It’s not obvious that the free market fails with regards to health care, or that the government would do better. What is obvious is that the government places all sorts of obstacles to a free market in health care, and encourages higher costs by giving out tax exemptions to employer insurance coverage.
#76, I’m not entirely sure where you think you are going with this Fusion… unless you are just being argumentative… which I can appreciate.
The comment was made that it is sad that money is put before people’s health, to which I replied that on a micro level, unless they are doing it out of their own charity, doctors are putting money before health when they expect to be paid for the services they provide, lest they don’t get performed. Just like a plumber isn’t going to fix your pipes unless you first agree to pay him; or if my boss decided he wasn’t going to pay me, I wouldn’t go to work either.
And that’s when you interjected with your sad tale of how there aren’t enough dentists where you live as a challenge to my general contention that without the expectation of adequate compensation as an incentive, there wouldn’t be as many of them (*grunt* “me no be doctor unless me get paid what it worth it for me to be it” *grunt*).
I’m also disappointed in you that you haven’t called me a right-wing nut yet.
Between the ultra-stupid and the uber-rich, the GOP still has enough collation to block desperately needed change.
#78–SL==I never realized you were a right wing nut. Always struck me as pretty intelligent/informed contrarian. For effect or in reality is pretty vague on this blog so I have always enjoyed your input/disagreement for the chance to hone my own position.
I have a faint recollection of you making a similar comment a while back that you were waiting for me to call you a LIBERTARIAN. So, its becoming clear.
Shall we say “crystal clear” from post #73: “it is the responsibility of “civilized” governments to provide “reasonable healthcare to all their citizens,” and I don’t agree? ///
Gee, SL==just how do you define “civilized?”
#77–Mike==”It’s not obvious that the free market fails with regards to health care.”/// So, just how much of history do you have to avoid/be ignorant of, to maintain this position?
Simple definition of free market: willinging buyers and sellers able to go elsewhere.
Simple definition of a sick person: needs healthcare NOW, doesn’t know what he needs, grasps at any straw thrown his way, can’t judge the results, will give his last dime to get a cure, doens’t have any money.
Yea, I can see how healthcare has a natural fit with the free market.
Oh boo hoo. I don’t trust this woman as far as I can see her. So friggin what if she has to go bankrupt that’s life, I’m not responsible for carrying her load that’s what bankruptcy is for. She got her treatment. I doubt she even will have to go bankrupt. She was a nurse. They make over $100 grand a year. She’s got a great pension. She’s probably got a house paid for already or two and other hidden assets. Fuck her boo hoo crap. If she didn’t cry up there people would care less, the crying game always gets people, they know this. There are people who are much worse off than her so I don’t feel sorry for her one bit.
#82 Nononsense
Troll.
>> Nononsense said, on August 3rd, 2009 at 2:09 pm
>> So friggin what if she has to go bankrupt that’s life.
I just love compassionate conservatism!
We all know the outrageous statistic that about half of bankruptcies are because of the conservative health care system.
But you know what really scandalous?
The vast majority of those people HAD HEALTH INSURANCE! (nearly 70%)
What the hell are premiums for under the conservative system? We pay through the nose and still go broke when we get sick.
You conservatives are a kind of sick that a doctor can’t fix.
# 82, u new to trolling?
#84–Greg==good couple of contributions. Glad those nasty god hating atheists haven’t run you off. A little good will towards man is a fine thing to see.
Sea Lawyer? Where did you go? Is 35% of bankruptcies occurring because of healthcare expenses happening to people with insurance a very CIVILIZED result?
I need to start a LIEBERTARIAN to English dictionary.
Civilized: the rich raping the poor pursuant to legal means.
72,
fusion..
Can I add…
Out of those Contacted…
73%
Umm, What Wage area were those people??
Did they have FULL time jobs??
Can we SUGGEST the ones to ask??
Those that MAKE $7-12 per hour..
#75..
Do you pay your OWN health care..TRY it..
See how much the business you work for PAYS.
Then see what it would cost YOU to pay your OWN. do you think your company will pay you the cost they pay? NOT.
MHO..
costs associated with GETTING a MD or even a RN rating, is EXPENSIVE beyond belief..
The COST of setting up a practice, is Horrendous..
The PAPER WORK of becoming a Doctor and filing claims with EACH of the HMO, medical care, and soforth is RIDICULOUS..
The Equipment and Location costs, are IGNORANT..
And I havent even TOUCHED medical insurance..
A GOOD medical BILL, from our Gov. Could SAVE us and the DOCTORS, MASSIVE amounts of money.
Ah, the new 2 minute hate is out.
Pity we can’t have any expose’s about how government agencies are filled with competent caring people in contrast to evil non-government places. Oh… it’s on CNN next week!
This is just another one of thousands of examples of heartless corporations treating our citizens like trash. Every person in this country has the right to and should have housing, food, medical care, and maybe transportation. This is why we elected our great, intelligent president. He can transform this country and make sure all are valued and the rich are brought to heel. We should look to other older wiser countries for examples and advice. Obliviously this is one of the worst examples of a society on the planet. Now is the time for change!
#89 web,
Are you joking? I can’t tell.
It wouldn’t have happened in England or Canada but we have heard testimony that you may have to wait until after you are expected to die before they get around to operating on or treating you.
You may not be able to get access to the chemo therapy you need unless it is on the approved drug list and this is the same as the cheap drug list. The list is one shy of all the drugs in some parts of Canada and only one on Ellesmere Island. Maybe you could move?
Insurance companies who do stuff like this need their butts nailed to the wall but if the government cuts medicare the way they are talking about cutting it we are going to have thousands of cases like this with government coverage.
There is going to be a cost cutter board set up to decide in advance what is or is not paid for.
I don’t know about the French. If they don’t have a board that determines who gets what and for how much they are the only ones yet.
England and I think Canada have such a board. Certainly care is rationed.
Sorry, wish I could be more optimistic but it is the nature of the beast. Tax funded health care is rationed.
# 33 Phydeau said, in part:
“We split the atom, we put a man on the moon…”
Yes, but what have we done lately? I am not completely sure we are up to it any more. This is not the same country that achieved those things.
– – – – –
# 39 Guyver said, in part:
“Research is not done for humanitarian reasons. Humanitarian reasons are expensive. If you take away the profit motive, then there will be little to no research for said cures…”
Oh, come on; there must be some humanitarian impulse somewhere in there. E.g., there are researchers who work in universities when they could be pulling down much bigger bucks working in private enterprise, but they like teaching, preparing the next generation of caregivers and researchers.
Of course, there’s lots less of that kind of thing than there used to be. Where are all the not-for-profit hospitals? (Bought up by the public corporations.) Where are all the religious hospitals? (Same.) (For that matter, where are all the religious?) Where are all the mutual insurance companies, the ones that are owned by their policyholders rather than shareholders? (Same.)
It seems funny — back when the money was worth something and we were the richest country the world had ever seen, when laborers and merchants could raise a family on one income, there was a lot more of that generous, “humanitarian” kind of thing going on. But now that energy costs somewhere between two and ten times as much and we as a nation are that much poorer, the bean counters and Harvard MBAs have taken over and the word “enough” has been completely banned from the vocabulary.
According to the Wendell Potter mentioned in the article, when the Medicare bill was first passed, health insurance companies paid out 95% of every premium dollar for health care costs. Now it’s 80%, an increase of profit of 400%. There has been so much consolidation that there is effectively NO competition in the field any more.
This is not sustainable.
39,
you are right..
but its a strange system.
there are many that would help, IF ASKED..
There are many that would volunteer to be test subjects.
The problem is that we have RAISED a nation of GREED and the only way MANY have seen to survive is MONEY.
#91, doil,
You make several accusations that simply are not true. The only reason you post them is because that is what FOX SPEWS, Boss Limpdick, and the other right wing bullshit brigade have been telling you.
I know you won’t read it because you are an asshole with an agenda. This is an op-ed by a Canadian Doctor dispelling some of the myths about Canadian health care.
#75 #73, well Fido, since your question presupposes that it is the responsibility of “civilized” governments to provide “reasonable healthcare to all their citizens,” and I don’t agree, then what exactly is there to dodge?
Fair enough, Sea Lawyer. You’ve stated your position. The implication being that you think anyone who doesn’t have enough money to buy life insurance can just… die. Kind of like thinning out the weak ones from the herd, eh? Pretty coldblooded, but at least you’re upfront about it… now if only we could get Guyver to give us a straight answer.