http://www.smartmoney.com/investing/stocks/The-Patient-Is-Waking-Up/ Smart Money "credits" United Health Group as a stock with improving its economic forecast. The biggest change: Money from government for Medicare and Medicaid contracts.
Throwing more money at a company doesn't mean the company is improving though I'm sure many people will make money as the stock price reflects this new handout from the government. Insurance companies are one song sallies: If we need money we charge more, we get a bigger piece of the government pie.
This is why the AHIP website, the biggest lobbyist FOR HEALTH INSURANCE COMPANIES loves the SCHIP legislation and supports all programs that give government money to health insurance companies. (Hardly the "FREE MARKET")
Where is the personal responsibility of these companies for their own health? Where are the penalties for their bad investments and their mismanagement and their over-spending?
Our country loves spitting out concepts of personal responsibility but when it comes to corporations, governments, and other multi-person systems, we FORGIVE bad companies, we SUPPORT bad companies, we LEGISLATE on their behalf.
It's disappointing that people will INVEST with United Health Group because it looks like the latest government handout dollars will bolster them for awhile. But this is no different from before. This money does not restrict their spending money on themselves in terms of salaries, facilities, employees and THEIR benefits, perks and stock, it only puts us back in the cycle...they'll spend down the government handout dollars irresponsibly like they did before, they'll raise prices for ordinary health insurance purchasers because how else can they make ends meet, they'll go back to the government and try to get more government dollars.
Our health insurance industry is irresponsible, corrupt and is reducing the INSURANCE they provide, insurance being coverage of the RISK OF THE COST OF COVERING ILLNESS in exchange for lucrative government contracts that primarily provide overpayments for providing the FINITE COSTS, (not insurance) of wellness and preventive medicine.
Our health is in the present, it is how we feel today. We purchase insurance to cover the unknown. If insurers do not cover the potential risk of the unknown they are not insurers.
Keep it simple today and write to Smart Money and ask how this positive FORECAST for United Health Group changes anything besides buying United Health Group some more time to fritter away health insurance dollars to maintain their current mismanagement and salaries.
