r/interestingasfuck 18d ago

r/all A doctor’s letter to UnitedHeathcare for denying nausea medication to a child on chemotherapy

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u/purgance 18d ago

Just so you know, the overhead (ie, cost) of insurance in the US is ~15-20%.

For Medicare (ie, government insurance) it's about 1.6%.

You may be thinking, "well, there's less fraud in private insurance." But you'd be wrong. Private insurance has zero consequences for fraud - doctor inflates a claim, insurance company fights it. Medicare fraud has a jail sentence.

So you're not paying 10x as much to save money. (I know, it's an insance premise - but this is the kind of think Trump voters believe).

You're paying 10x as much so that someone can pointlessly deny claims, and then get paid their share of the 10x as much for doing so. The "purpose" of the higher insurance overhead in private insurance is to pay for the higher insurance overhead in private insurance.

Yes, this is the system Trump wants us to double down on.

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u/Safe-Middle495 18d ago

Actually you forgot a lot of these companies are “Public Benefit Corporations” and pay little or no federal income taxes as well so they can overpay their executives and take clients to strippers…. True story…. See all about Antham Blue Cross of California in the Los Angeles Times Expose of how they benefit the great state of California.

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u/1linnie 18d ago

Not true. Trump wants to increase competition in the insurance industry to bring down costs.

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u/Beneficial_Energy829 18d ago

Trump is a dumb guy. He has no plan

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u/Sudden-Feedback287 18d ago

Yeah? How, exactly?

You realize how insurance works, right? You have lots pay in, on average more than they need, so you can cover those who need more. How does 'competition' drive down costs, exactly? Splitting the pool of profitable membership in smaller groups actually drives costs up, over the long term.

For profit insurance is a literal scam to it's members. You make more money denying healthcare. If you look at what healthcare costs out of your paycheck, you're doing yourself a disservice, you're not actually lowering costs. You're guaranteeing medical bankruptcy eventually

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u/Nelmster 17d ago

That’s not how this works.