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OrwellianChild | 2 years ago

Worth getting a bit specific about terminology here... The article states that _insurance_ profits are capped, but that PBMs and other stages of care are not. That's why they're all vertically integrating - so they can steer margin to the un-regulated entities. Can't help but feel like this is a simple anti-trust issue just like you'd see in other industries. If they were truly separate companies with robust competition, we could see a lot more efficiency and less rent seeking.

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GiorgioG|2 years ago

It's all a shell game...sure insurance profits are capped, but it doesn't stop executives from taking lavish salaries. I worked for a Blue Cross Blue Shield affiliate in 2006-2007. The CEO was making 2.1 million dollars per year. Think about that.