Insurance

‘Option Annie’ wows ’em at Insurance Industry confab

October 23, 2009  ·  Consumer Watchdog

<a href="http://www.billionairesforwealthcare.com/about/">"Billionaires for Wealthcare"</a> sing their hearts out on behalf of the public option in healthcare reform, right in the middle of a meeting of the insurance industry lobby, America's Health Insurance Plans. Until, of course, the security guards move in. What a stunt! Click on to see the video....

Mass. Gov. Wants to Expand Power of Regulators to Review Health Premiums

October 23, 2009  ·  Consumer Watchdog

BOSTON, MA -- Massachusetts Gov. Deval Patrick has proposed reforms that include expanding the authority of state insurance regulators by allowing review of health insurance premium increases before they take effect. Consumer Watchdog said Massachusetts' move toward insurance rate regulation shows action like this is needed under proposed health reforms at the federal level. "The out-of-control costs in Massachusetts, which depends on the private market to insure all residents, show that insurers will not control costs voluntarily even as medical cost inflation slows," said Judy Dugan, research director for the group, in a statement.

Who’s really paying for United Health Group’s profit spike?

October 20, 2009  ·  Judy Dugan

<p> The biggest U.S. health insurance conglomerate, UnitedHealth Group, was basking today in a <a href="http://www.bloomberg.com/apps/news?pid=20601103&sid=aeteB.GuGqLg">13% profit increase,</a> to more than $1 billion, even though it lost nearly 10% of its commercial customers (because no job=no health insurance). Where it boosted revenue was in its for-profit Medicare managed care plans. Its profits were subsidized by people who have regular plain-vanilla Medicare. Here's how it works: </p>

Under Proposed Reforms, Little Rate Regulation, New Customers May Mean Health for Insurers

October 20, 2009  ·  Consumer Watchdog

<p> OLDWICK, N.J. -- With virtually no limits on what they could charge in premiums, coupled with millions of new customers to gain, the U.S. health insurance industry's financial future certainly isn't in critical condition. Lawmakers on both sides don't want to talk about rate regulation because they know insurance companies hate it, said Jerry Flanagan, health care policy director for Consumer Watchdog. Even many Democrats think that would be too much intrusion in the market, he said. Yet Congress requiring people to buy health insurance "is a dramatic market intrusion." </p>

Health Care Reform Insurance Companies Can Believe In

October 19, 2009  ·  Consumer Watchdog

It’s now clear that health care “reform” is a bonanza for the insurance companies. But these acquisitive businesses want even more. Their efforts to increase their profits are at the center of the clandestine Senate and House negotiations currently shaping the health bill. The companies are expected to continue to expand marketing strategies to persuade the young to buy insurance. Judy Dugan, research director of Consumer Watchdog, warned that the insurers would “cherry-pick” young people, offering free gym memberships and other health-oriented programs. “They will try to attract the healthy and young,” she said, leaving the older and potentially less healthy segments of the population to the insurance exchanges. The insurance companies also want to be free to charge high prices. That is why they don’t want the government selling policies—the public option—in the exchanges. “They don’t want the government selling what would likely be cheaper policies,” Dugan said.

AT&T To Raise Landline Phone Service By More Than 20 Percent

October 16, 2009  ·  Consumer Watchdog

For the second time in two years, AT&T is raising local landline phone rates by more than 20 percent. The phone giant plans to start informing customers next week that charges for basic phone service will jump from $13.50 a month to $16.45 starting Jan. 2nd. Consumer advocates questioned both the need and the timing of the price increase. They noted that it comes amid a recession, when many consumers are struggling financially. "There's nothing in the economy or the cost of providing phone service that would justify a 22 percent increase," said Harvey Rosenfield, founder of Consumer Watchdog.

Obama owes progressives answers on health reform

October 15, 2009  ·  Jamie Court

<p> President Obama is coming to San Francisco tonight for a Democratic fundraiser. He owes the San Franciscans he will meet, in the city that has been the epicenter of progressive politics in America, some honest answers about how his...</p>

How will the proposed Consumer Financial Protection Agency weather industry attacks?

October 14, 2009  ·  Carmen Balber

<p class="MsoNormal"> The first hour of debate just finished in the House Financial Services Committee on the proposed Consumer Financial Protection Agency. This is the agency that's supposed to rein in abusive credit cards, mortgages and checking accounts, and all the other financial tricks that made Wall Street money at consumers' expense... </p>

Car Insurance Rates Downshifting

October 14, 2009  ·  Consumer Watchdog

<p> Whatever the case, consumers are benefitting from the lower rates. "Generally, they are coming down," said Heller. "ZIP codes that historically faced rate discrimination have seen substantial savings. It's always a good time to shop for insurance because we have a very competitive market." Still, the decision to buy a new policy should not be tied only to how much it costs. "It's good to save money on insurance but if the company is not there for you it's a waste," Heller said. </p>

Schwarzenegger Vetoes Extension of Low-Cost Auto Insurance Plan

October 13, 2009  ·  Consumer Watchdog

SACRAMENTO, CA -- Gov. Arnold Schwarzenegger vetoed bipartisan legislation that would have extended California's Low Cost Auto Insurance program for low-income families. "Why would a program that has allowed nearly 50,000 Californians to buy auto insurance instead of driving uninsured and doesn't cost the taxpayers a dime be on the Governor's chopping block?  It's not just low-income families who benefit from this program but all the people who have had their claims paid because another driver was carrying this policy," Consumer Watchdog Executive Director Doug Heller said in a statement.

Low-Income Auto Insurance Bill Vetoed

October 12, 2009  ·  Consumer Watchdog

Efforts to extend a state-backed auto insurance program for low-income Californians failed after Gov. Arnold Schwarzenegger vetoed a bill that would have kept it going until 2016. Consumer advocates argued that the low-cost insurance program has been effective and criticized the governor for his veto. "This veto is out of touch with the real economy that many Californians are facing," said Douglas Heller, executive director of the Santa Monica-based Consumer Watchdog. "Why should a program that has allowed nearly 50,000 Californians to buy auto insurance instead of driving uninsured and doesn't cost the taxpayers a dime be on the governor's chopping block?"

Gov Signs, Vetoes Consumer Protection Bills

October 12, 2009  ·  Consumer Watchdog

A bill that would have extended a low cost auto-insurance program in California another three years has been vetoed by the Governor. The program offers bare-bones auto liability insurance to good drivers for about $350 per year. The pilot program has provided insurance to about 50,000 motorists, but is set to end next year. The bill by Assemblyman Dave Jones, D-Sacramento would have extended the program to 2015. "This veto is out of touch with the real economy that many Californians are facing," said Doug Heller, Executive Director of the nonpartisan Consumer Watchdog. "Why would a program that has allowed nearly 50,000 Californians to buy auto insurance instead of driving uninsured and doesn't cost the taxpayers a dime be on the Governor's chopping block?"