I’m told that in the late 1800s, a very popular form of entertainment that regular folks would pay high admission prices to see was to watch two full-sized steam trains smash into each other at 40 miles an hour. I guess we are still the same basic humans 120 years later.
A few weeks ago, I was invited to speak at a large meeting of employers who offer health insurance (and lots of other benefits) to their employees. All of them said they are struggling with continuing to pay for those benefits. As we entered the Q&A portion of the program, a very nice lady about halfway back stood up and fired a broadside at me:
Straight Talk Podcast
Listen to Mike tell it Straight! Our Straight Talk podcast series brings you the latest information and updates on healthcare reform, costs & quality.
“Did you know that health insurance companies that participate in federal or state programs also have stricter gross margin/profit caps on that business? For example, the Medicaid health plans in Louisiana have to pay state and local taxes, and they pay for all administration on 15 percent of the payments they get from the state for managing care of Medicaid patients.”
The Olives: “The Grapes are Gutting Obamacare!! People will die!”
The Grapes: “Obamacare is FAILING! We need to repeal/replace it!”
Drug Company Magic, Part 2
As we move further into 2017, I am increasingly concerned about the impact drug price increases have on your premiums. I’ve written before about the “magical” way drug companies arrive at their pricing.