Wednesday, September 23, 2009

Insurance "Profits"? Look to AARP!

Who would have guessed?

Today, House Republicans have issued a report providing evidence that AARP is in a position to recieve tens of millions of dollars in "kickbacks" if Democratic health care legislation becomes law.

Yah, well, standard stuff--you shill for me, I'll load your pockets.

But while we're talking about "loading pockets," let's look at the deal AARP cut.

You have to first understand that ObamaCare squeezes out Medicare Advantage plans. The Democrat party HATES Medicare Advantage--after all, people get a choice. When M.A. goes away, the mice (rats??) really get to play:

In 2008, AARP generated $652.7 million in revenue by selling products like Medigap supplemental Medicare insurance, accounting for over 60 percent of the group's revenue, according to an analysis of its financial statements cited in the report released by the House Republican Conference.

If the House Democrats health care bill becomes law, the report argues, it would be a boon to AARP, because while
Medicare Advantage plans will be required to pay out 85 percent of the money collected in premiums to claims made by policy holders, the requirement would only be 65 percent for the kind of Medigap policies sold by AARP.

In other words, the real profiteer here is AARP--and it's all "legal," folks. FatCat insurance executives? Look no further than AARP, another Roosevelt legacy.

HT: Spectator

1 comment:

MAS1916 said...

Nice catch on this!!!

You have to hand it to the PR wizards at AARP though... they built a company around the illusion of service to seniors and turned the lie into a huge commercial enterprise.