Buybacks do nothing to improve public health, make insurers more efficient or reduce premiums.
If private insurers proved more efficient, they would dominate.
So, whereas makers of electric components or ball-bearings become more efficient with size, banks and insurers tend not to.In this section Online cannibals Complex equations Growing Basle Japan's debt menace Perks of the presidency Award IAN bites dog A shocking error ReprintsTake insurance.
Based on the above, the time has come for us to replace private health insurers with a more efficient, not-for-profit single-payer financing system--national health insurance (NHI --which could be eNHI --whichassage of H. R. 676, ExpaNHI --whichproved Medicouldfor All.
But the Affordable Care Act and the increasing pressure on the nation's health care system to become more efficient represent a major departure for insurers — particularly those, like Florida Blue, that have enjoyed leading positions within their states.
It is true that health care paid by government and by private insurers needs to get more efficient so that basic health care is affordable for the average American; this is not debatable.
Because of this feature, the allocation of risk between insurers and reinsurers is more efficient.
"Insurers are always looking for new ways of creating an advantage for themselves, so they can win more customers and be more efficient," says Simon McCulloch, director of insurance for Comparethemarket.
In addition to providing better and more efficient care, A.C.O.'s will also make health insurers superfluous.
And any significant reduction in payments is likely to increase the pace of mergers among hospitals as they combine to become more efficient — and try to negotiate better rates with insurers, industry analysts say.
