Seniors pay more for health care so that insurers see double digit profits

- Health insurer Humana Inc (HUM.N) posted a higher quarterly profit, helped by strong growth in its Medicare Advantage and Medicare prescription drug membership, and forecast second-quarter earnings above market expectations.

Known best for being a provider of Medicare plans for the elderly, Humana is benefiting from continued low use of medical services by Americans wary of spending in the shaky economy.
For the second quarter, Humana expects earnings of $2-$2.10 a share. Analysts were expecting $1.94 a share, according to Thomson Reuters I/B/E/S.

January-March net income was $315.2 million, compared with $258.8 million in the year-ago quarter.

Net income for the latest and last-year quarters included gains of 31 cents and 37 cents per share related to prior-period medical claims reserves.
http://www.reuters.com/article/2011/05/02/us-humana-idUSTRE7412XZ20110502

does anyone know how the VA gets their drugs and how it's negotiated?

It also dispenses drugs in the cheapest form possible, this often means large dose pills are dispensed and must be split to get the smaller dose. The teardrop shape of Losartin is damned hard to cut in half evenly, but the cost savings is worth the effort.

Administration Opposes Democrats' Plan for Negotiating Medicare ...
Nov 13, 2006 ...
Federal price negotiations would unravel the whole structure of the Medicare drug benefit, which relies on competing private plans
http://www.nytimes.com/2006/11/13/washington/13medicare.html

I, for one, don't mind 33 cents of every dollar I spend on health care going to CEO salaries, perks and bonuses...



Do I really need the "sarcasm" smilie...?