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Brand discount cards increase costs to private insurers by 46%: study

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Dave Patriarche:

I have several problems with this article, but will hit the biggest one. It begins with the statment… “This increase in cost for the insurer occurs because…”

NO. NO. NO. It is the cost to the EMPLOYERS that pay for the majority of private plans that may be higher. Continuing to state that insurers pay for the cost of employee benefit plans is just wrong and tends to be one more thing that fuels the fraud in healthcare. Many would be less inclined to steal if they new it was coming straight out of their employers pocket. To be clear, the only costs that insurers incur, are for the insurance company’s employees themselves.

When the article begins like that, we tend to disregard it as the lack of awareness to who actually pays the claims, means they have a total disconnect…so why read further.

Tuesday, November 19 at 11:42 am | Reply

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