With the Republican victory in Massachusetts to tilt the balance in the Senate, the possibility of adopting a comprehensive health reform in the short term looks increasingly remote. The hypothesis would be that health insurance companies that are happy about the news of Scott Brown will take place Ted Kennedy, and the initial reactions reported to be the case. The stock-for-profit health insurance companies rose on the news. However, says the death of health reform, insurance can not be good for the industry as it seems at first sight. The health insurance have been significant changes in the context of health reform. The federal government intended to issue regulations that, among other things, put a cap on health insurance premiums they can charge people who are older or in worse health. The reform should also prevent insurers from denying health coverage for people with pre-existing conditions. While most of these changes have the potential to damage the profits of the health insurance companies, most insurers had already made a calculated decision to support some aspects of health reform. Insurers to submit applications for reform was based primarily on the creation of a health insurance mandate. The mandate requires all Americans to purchase health insurance individually, or pay a fine. Individuals and families below a certain level of income received federal grants to purchase a health insurance plan. Insurance companies are in favor of the Democratic proposal, like millions of new consumers to them – many of whom were younger, healthy people and more profitable for insurers. Although some analysts doubt that subsidies or penalties will be large enough to convince consumers to enter and enough to offset the influx of patients is not profitable in worse health. However, if even a fraction of the 30 million uninsured Americans entered the health insurance companies can benefit. In fact, executives of major health insurance companies like Aetna have admitted to resort to new models of revenue generation, in any national healthcare reform passes. The recession caused a drop in sales of group health insurance, companies no longer pay for insurance for employees made redundant, and some companies have dropped their health insurance business altogether due to cost. Many displaced workers are able to afford health insurance, COBRA, even temporary subsidies. As a result, there is a growing market for health insurance on their own. Unfortunately, this group is largely from the market for individual health insurance. They may need to work in the best health insurance options offered by pure business reasons. While health insurance is generally considered a necessity, is less important than food, water, shelter and minds of consumers. If health insurance contributions are too expensive, many consumers will fall completely. This does not bode well for the sector of health insurance. insurers are reluctant to health reform in the states. If the current bill die in the Senate and House of Representatives, the health insurance company may be forced to deal with 50 different laws. Some of these laws can be stricter than others. Groups of Industry, Commerce, Health Plans such as the United States Insurance, thinks that the cost to comply with legislation such disparate end of May to be more expensive than the limitations imposed by federal law. This will make it even more difficult without the additional influence of government will have to reduce medical and hospital expenses. Finally, there is fear that if this legislation is not approved, become even more unfavorable to the health insurance companies. If the status quo is maintained, insurers can earn higher returns in the short term. However, the Government will adopt more extreme measures after, if health insurance premiums and costs continue to rise. For example, the idea of a public option run by the government could get more traction than it did this time.
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