The company says it is protecting nursing home residents by curbing unnecessary hospital transfers. Whistleblowers allege cost-cutting tactics have endangered the elderly
Overall, the unweighted average loss ratio was 1.6% higher in Q2 2024 at 85.8% compared to Q2 2023 at 84.2%, as all carriers except Elevance increased year-over-year. The increases are: CVS Health (Aetna) (86.2% to 89.6%), UnitedHealthcare (83.2% to 85.1%), and Cigna (81.2% to 82.3%).
So looks right in line with the 80-85% requirement.
That they don’t more reliably increase the portion they get to keep that ends up as profits for another.
Increase the portion of premiums they get to keep? How…
Do you understand that they can lose money if the medical costs are too high?
Of course. But that doesn’t change the fact that they can’t keep a larger portion of the premiums after medical costs and rebates if the medical costs get lower.
Really? What’s the average Medical Loss Ratio of major insurers then?
Edit: https://www.oliverwyman.com/our-expertise/insights/2024/sep/health-insurer-financial-insights-q2-2024.html
So looks right in line with the 80-85% requirement.
Increase the portion of premiums they get to keep? How…
Of course. But that doesn’t change the fact that they can’t keep a larger portion of the premiums after medical costs and rebates if the medical costs get lower.