US insurance Companies Overcharge - Surprise, Surprise!
In other news comes this nugget about another segment of Bush's corporate cronies, members of his have's and have more's...insurance moguls.
A study by the Consumer Federation, Consumer's Union and other consumer organizations of U.S. insurance companies found that insurers overcharged customers by an average of $870 per household during the last four years.
"The Consumer Federation of America's insurance director, J. Robert Hunter, said insurance companies have enjoyed robust profits and contained losses largely by 'methodically overcharging consumers, cutting back on coverage, underpaying claims and getting taxpayers to pick up some of the tab for risks the insurers should cover.'
"The study — based on insurance industry data and companies' financial reports — estimates that the insurance industry's net income after taxes in 2007 will be $65 billion, down from the record $67.6 billion set in 2006 but above 2005's $48.8 billion.
"Insurace (sic)companies have received about $4 billion in subsidies, the report says, since the federal Terrorism Risk Insurance Act took effect in November 2002 after insurers' costs from the Sept. 11 attacks hit $32 billion. The backstop under the act, in which the government agrees to reimburse insurers up to $100 billion in the event of another attack by foreign terrorists, was extended for another seven years under legislation enacted by Congress last month and signed into law by President Bush."
No surprise.
Insurance companies' lobbyists make certain that Congress dances to their tune with $$$ contributions, and Bush always helps his avaricious donor buddies.
Screw the poor consumers. Business as usual.
A study by the Consumer Federation, Consumer's Union and other consumer organizations of U.S. insurance companies found that insurers overcharged customers by an average of $870 per household during the last four years.
"The Consumer Federation of America's insurance director, J. Robert Hunter, said insurance companies have enjoyed robust profits and contained losses largely by 'methodically overcharging consumers, cutting back on coverage, underpaying claims and getting taxpayers to pick up some of the tab for risks the insurers should cover.'
"The study — based on insurance industry data and companies' financial reports — estimates that the insurance industry's net income after taxes in 2007 will be $65 billion, down from the record $67.6 billion set in 2006 but above 2005's $48.8 billion.
"Insurace (sic)companies have received about $4 billion in subsidies, the report says, since the federal Terrorism Risk Insurance Act took effect in November 2002 after insurers' costs from the Sept. 11 attacks hit $32 billion. The backstop under the act, in which the government agrees to reimburse insurers up to $100 billion in the event of another attack by foreign terrorists, was extended for another seven years under legislation enacted by Congress last month and signed into law by President Bush."
No surprise.
Insurance companies' lobbyists make certain that Congress dances to their tune with $$$ contributions, and Bush always helps his avaricious donor buddies.
Screw the poor consumers. Business as usual.
Comments