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care over cost
UnitedHealth Reports $7.9 Billion in Q2 Profits After Protesters Arrested
"Health insurance coverage has expanded in America, but we are finding it is private health insurance corporations themselves that are often the largest barrier for people," said one organizer.
Jul 16, 2024
A day after 150 people assembled outside the headquarters of UnitedHealth Group to demand the for-profit health insurance giant stop its "systemic" denial of coverage, the company announced Tuesday the huge profits it raked in over the second quarter of 2024: $7.9 billion.
The sum, said one organizer, exemplifies why the demonstrators were willing to risk arrest to speak out against the firm's practices.
"UnitedHealth Group's $7.9 billion quarterly profit announcement is the result of a business model built on pocketing premiums and billions of dollars in public funds, then profiting by refusing to authorize or pay for care," said Aija Nemer-Aanerud, Health Care for All campaign director for People's Action Institute. "People should not have to turn to public petitions or direct actions to get UnitedHealthcare to pay for the care they need to live. That makes no sense, unless you're a shareholder or executive eyeing your next big luxury purchase."
Eleven people were detained by police at Monday's demonstration, where they blocked the street in front of UnitedHealth's headquarters in Minnetonka, Minnesota, displaying signs that read, "United (Denies) Healthcare" and "The Price Is Wrong."
The demonstration was organized by the Care Over Cost campaign at People's Action Institute, which has worked to help people across the country overturn care denials by UnitedHealth and other for-profit insurance giants.
Gina Morin of Auburn, Maine spoke at the event about having her mental health treatment denied by her Medicare Advantage plan administered by UnitedHealth.
"Two years ago my therapist was denied payment for seven of my mental health sessions she provided," she said. "I tried to pay her even though I'm on a limited income and she wouldn't take the money. If my provider, in her professional opinion, believed I needed those therapy sessions, who is UnitedHealth to deny coverage?"
As Common Dreams reported last month, UnitedHealth was named in a letter written by 52 members of the Democratic caucus in Congress as one of the healthcare companies that use artificial intelligence to decide via algorithm that coverage should be provided or denied to patients who have Medicare Advantage plans, which are billed as offering coverage that traditional Medicare doesn't include.
ProPublicareported last year on Christopher Naughton, a man with ulcerative colitis whose treatment cost $2 million per year, leading UnitedHealth to flag his account as "high dollar." The company contracted with a doctor to review Naughton's case, and the doctor found the treatment for symptoms including arthritis, debilitating diarrhea, and blood clots was "not medically necessary."
After suing the company, Naughton's family found UnitedHealth had lied about what Naughton's personal physician told the contractor in order to come to their conclusion and end coverage.
"Health insurance coverage has expanded in America, but we are finding it is private health insurance corporations themselves that are often the largest barrier for people to receive the care they and their doctor agree they need," Nemer-Aanerud toldCBS News Monday.
In April, People's Action sent a letter to UnitedHealth noting that its CEO was paid nearly $10 million in 2022 while the CEO of its parent company "extracted over $90 million in executive and board pay for himself" over four years.
The company took $22.4 billion in profits in 2023 and sent $14.8 billion to shareholders through stock buybacks and dividends—yet continues to deny necessary healthcare coverage to its members.
The group called on UnitedHealth to:
- Stop denying claims and overturn any existing denials for treatments recommended by medical professionals;
- Immediately cease the practice of using artificial intelligence and algorithms to initiate claims denials in bulk; and
- Execute a publicly shared audit and reimburse federal and state governments for the public money diverted by claim and prior-authorization denials within Medicaid (Managed Care), and Medicare (Medicare Advantage), among other demands.
"We will never stop fighting for a world where everyone gets the care they need, no matter their race, gender, or background," said People's Action. "When greedy corporations deny our care, we organize."
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Sick and Tired of Industry Greed, Activists Across US Target For-Profit Health Insurers
"I'm tired of insurance companies putting profit over people," said one activist at a Chicago rally.
Oct 12, 2023
Pushing back against insurers' annual denial of nearly a quarter-billion healthcare claims or pre-authorization requests, activists rallied in more than a dozen U.S. cities on Wednesday to demand "an end to private health insurance industry greed so people can get the care they need when they need it."
The Care Over Cost Campaign—a national grassroots initiative launched by the advocacy group People's Action—held rallies in cities including Baltimore, Maryland; Chicago, Illinois; Denver, Colorado; Detroit Michigan; Portland, Maine; and Hartford, Connecticut, known as the "insurance capital of the world." The campaign called on the industry lobby group America's Health Insurance Plans (AHIP) to "direct its members to put people over profit."
Activists implored AHIP and private health insurance corporations including Blue Cross Blue Shield (BCBS), UnitedHealthcare, Cigna, Humana, and Aetna "focus on ending the epidemic of care denials."
"CEOs at private health insurance companies profit off our pain and deny our healthcare. That's why people are rising up across the country to expose the lie that private health insurers are there for us when we need them," People's Action Healthcare for All campaign director Aija Nemer-Aanerud said in a statement.
"We all deserve the care we need when we need it, and it's time for greedy corporations like BCBS, Aetna, Cigna, and UnitedHealthcare to pay up and stop denying care," Nemer-Aanerud added.
According to Care Over Cost, private insurers deny more than 248 million claims and pre-authorization requests each year.
The campaign's demands include "sharing claims denial data, holding public meetings, ceasing lobbying, and working with policymakers and public authorities to transform the system to people over profit."
In Chicago, activists from groups including the People's Lobby, ONE Northside, and Jane Addams Senior Caucus held a "die-in" demonstration outside the downtown office of BlueCross BlueShield in support of what the organizers said are "the 700,000 Americans whose lives are impacted or lost due to lack of access to medical care from denied medical claims each day."
Activist Michael Grice, who lives with a disability, told rally attendees that "it took me over four years to get the wheelchair I'm sitting in now."
"I'm tired of insurance companies putting profit over people," Grice said. "They always do it for people with disabilities and senior citizens. I'm fed up with this garbage."
Illinois state Sen. Mike Simmons (D-7) addressed the Chicago rally, asserting that "it's not too much to ask in a developed democracy that people live long, healthy, prosperous lives."
"Those 700,00 denied claims—that's someone who needs insulin, someone who has an untreated liver condition," Simmons said. "That's somebody's aunt, somebody's mom."
Hartford rally attendee Kristen Whitney Daniels toldCT Insider: "This is an untenable situation. And it's only getting worse and worse every year, getting less and less covered."
"The frustrations are gonna boil over eventually," she added. "And [insurers] can either be part of the solution and working with patients to find ways to help patients have health, or they can be a part of the problem."
Responding to the protests, Alex Kepnes, executive director of communications for Aetna, toldCT Insider that the company wants to be "part of the solution."
"We believe that every American should have access to affordable, high-quality health coverage," Kepnes said. "The basic premise of making healthcare more affordable and simpler is at the core of CVS Health's transformation."
CVH Health, which owns Aetna, reported revenue of over $300 billion last year, with profits topping $4 billion—even as the company plans to lay off 500 Connecticut employees.
Daniels, who has Type 1 diabetes and other healthcare needs, said her insurance company, UnitedHealth, is part of the problem, making it extremely difficult to get the insulin she needs. She also said the company stopped covering one medication she needs a year after it was approved for coverage.
"I am tired of insurance companies getting rich off treating patients and disabled folks, like myself, as if we are expendable."
"The problem is this medication has worked so well for the last two years," Daniels said. "So I know how well it works. And then I want it and then I've been off of it for the last few months. And it's been horrible. It's like relearning to be diabetic again."
"I am tired of insurance companies getting rich off treating patients and disabled folks, like myself, as if we are expendable. I am not alone," she added. "That's why I am fighting and I will keep on fighting these claims and for affordable insurance that everyone has access to."
Phil Brewer, an emergency physician representing the single-payer healthcare advocacy group Physicians for a National Health Program (PNHP) at the Hartford rally, told CT Insider that "requiring pre-authorization used to be rare."
"Now it's routine," he added. "It also used to be that a human being actually reviewed the request, but now most requests are 'reviewed' by algorithm-driven AI programs."
At the Portland rally, Ronan Aubrey—whose family has a history of cancer—said they were surprised to receive a bill for a diagnostic ultrasound they thought would be covered by their insurance.
"Because my procedure was recommended by a doctor, I had assumed it would be fully covered. I was wrong," Aubrey told the Maine Beacon. "My insurer only covered a small part of the scan and procedure because I hadn't yet met my $3,500 deductible for the year."
"When an insurer tells us that medical care we need isn't covered, what are we going to do?" Aubrey asked. "My insurer shouldn't be deciding whether I should be getting a medical procedure—my doctor should."
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