I agree with your statement regarding comparison to other carriers that lose money. But, if I understand the article correctly, the bcbs profit was not 471 million, but closer to 70 million. My point being that the article is incorrect at the least and may be an outright lie at the most. Either way, how did this get past the editor?
FL Blue Makes a Killing in ACA
- Thread starter Yagents
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- #12
It's a puff piece to offset all the huge rate increase articles.
Kind of like all the articles that most consumers won't feel the 50% increase since they get tax credits and can shop for a crappier company and network.
They fail to state the rest of it is paid by me the taxpayer, and the unsubsidized crowd will feel the full brunt of the increase which is also me.
Getting it from both ends, the liberal way
Kind of like all the articles that most consumers won't feel the 50% increase since they get tax credits and can shop for a crappier company and network.
They fail to state the rest of it is paid by me the taxpayer, and the unsubsidized crowd will feel the full brunt of the increase which is also me.
Getting it from both ends, the liberal way
17% Gross Profit less 20% Operating Expenses equates to -3% profit, the only way Net Profit could be plus is if their operating expenses are less than 17% (which is entirely possible since IFP is a small portion of their entire business)
- 10,313
My money is on the bet that says the 4th grader who wrote that article was just incorrect about the 17% statement. Basically what he said was that only 3% of the MLR went to admin/expenses and the remaining 17% was all profit. He got it backwards. No insurer operates at a 3% overhead.
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What the article's title should have been is "FL Blue makes $17mm off of ObamaCare". Because that is what their net profit was.
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What the article's title should have been is "FL Blue makes $17mm off of ObamaCare". Because that is what their net profit was.
HealthRisk
Expert
- 43
Operating expenses were reported less than 20% and they have a net profit, statutorily. The contingency is they are assuming quite a substantial influx of cash from risk adjustment.
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The issue with the article is that they say money was made after only paying for the claims and ignores the insurers own expenses. That would be like saying McDonalds made a profit since they were able to pay for all the food inputs and ignored buildings/paying burger flippers/electric bills/etc. It is misleading.
- 8,448
Is Florida one of those battleground swing states that is ultra important to win in November?
Maybe what we'll see next is a fake story promising a reduction in Medicare Advantage premiums for Florida seniors.
Maybe what we'll see next is a fake story promising a reduction in Medicare Advantage premiums for Florida seniors.
Yes, its a swing state. Trump can't win without it.
- 10,313
Speaking of fake stories. The one this thread is about is the only new outlet reporting this. FL Blue has no press releases issued about this and as of last night I could find only 1 other article and it turned out to be a marketing blog linked to the original article. A bit suspicious if you ask me... are they just getting some kind of inside info from HHS?
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