Health Insurers Not Too Worried About Obamacare–Consumers Spending Less, Bigger Subsidiary Profits Keeping Revenue Earning
Posted Sep 22 2013 1:19am
This is all we are hearing right now and the uncertainties and sure there’s more of those to come as the models and algorithms come through the servers where they work and use their business segmentation models for improved profits. This is an interesting video he completely agrees with me about with truckloads of subsidiaries with United Healthcare. United is making money and as this person discusses anything they make on top of what they already have in place due to Obamacare is a “cherry on top” he says. Here’s what I have been saying at the link below. They have a lot data selling revenue coming in as well.
Between Optum (formerly Ingenix) and the OptumInsights, their consulting management services he states United doesn’t even really have Obamacare as part of their profit mix. He states the pharmacy benefit management is also a big producer of profits for them. I said the other day that when you look at ACOs it is interesting to see how the subsidiary companies are also involved as a insurer subsidiary may coming running to the rescue to sell software that the hospitals need for their ACO, a sale is profit. The United subsidiary that makes/distributes the cheap hearing aids comes in a solution to keep costs down for another simple example and money spent there by consumers is profit for that subsidiary. With consumers having to pay more out of pocket today, there’s even additional dollars that go to the profit side.
Other carriers are also discussed and how Blue Cross is very active in the exchanges as they have to be as their strong markets has been individual policies versus the larger amount of business accounts some of the others have. Capturing the Medicaid market has also been a big focus. Oh what do I know.. back in 2009 I made a post asking “Am I insured by an insurance or a technology company ”. It’s just a matter of following the data, marketing and the money and you can see things arriving a little before the rest maybe. In some areas human brains can still work as good as algorithm. BD