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Recommend "Summer Harrison" - Obama's $1 trillion subsidy to big business insurers (Email)

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http://www.opednews.com/articles/Obama-s-1-trillion-subsid-by-Summer-Harrison-110731-758.html

August 1, 2011

By Summer Harrison

Federal hand-outs to the health insurance industry could top $1 trillion in the next five years. Between twenty and fifty percent of that will be saved off the top as net profit.

The handouts are not loans or grants or even tax breaks. They are the product of the Administration's policy supporting auctioning off state Medicaid and federal Medicare contracts to publicly traded, for profit health insurance corporations.

Based on SEC filings for the first three months of 2011, government payments to the top ten for-profit insurers were running around $10.9 billion a month, up ten percent just in the previous six months. Depending on how much fraud is going on, between $1.9 and $5.4 billion of that gets "saved" every month towards corporate profits by the company simply refusing to spend it.


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