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Health Insurance Industry Contributions to Politicians Block Regulation, Affordability in Health Care Debate, Says FTCR
Date:9/10/2007

ation of how much insurers can charge.

The analysis includes contributions made by the top six health insurer and HMO donors -- Blue Cross, Blue Shield, PacifiCare, Molina, Health Net, Aetna - - as well as the Association of California Life and Health Insurers and the Association of California Health Plans:

Assembly: $1,258,873

Senate: $1,058,912

Dem/Rep Party: $1,056,747

Schwarzenegger: $719,600

TOTAL: $4,094,132

"Lawmakers are focused on the interests of the health insurance industry to the exclusion of consumers and workers, who will be required to purchase a private health insurance policy regardless of what it costs or covers under the emerging deal," said FTCR's Carmen Balber.

Legislation that would have required health insurers to defend their overhead and profit while getting approval for premium increases to regulate the insurance industry was defeated in the legislature in July. The legislation would have applied to health insurers the same requirements that apply to the auto insurance market and have saved drivers $23 billion since 1988.

The five California companies (Kaiser, Blue Shield, Blue Cross, PacifiCare, and HealthNet), that control 80% of the HMO market, have recorded profit increases of $11.7 billion since 2002. Four of the companies transferred $4.1 billion in profit to out-of-state parent companies since 2002. The six largest HMOs spent $1.6 billion on marketing in 2006.


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SOURCE Foundation for Taxpayer and Consumer Rights
Copyright©2007 PR Newswire.
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