Following is reaction noted to the recent AMA study that found a near monopoly among health insurers in many markets.
"Health care premiums are up because the underlying costs of health care are up dramatically. The causality is not consolidation," said Christopher Ohman, chief executive of the California Association of Health Plans.
--quoted in The San Francisco Chronicle
…Gary Claxton, vice president at the Kaiser Family Foundation, contends fewer insurers mean the need for underwriting cycles has diminished, and it's likely that carriers will settle on the high side when it comes to premium increases. "They won't get down to cost," he said. "They see it as their collective right not to cut prices too much."
--quoted in Associated Press story
David Colby, chief financial officer for WellPoint Inc., the nation's largest carrier…said medical cost increases have forced his company to hike premiums. He added that the percentage his company spends on actual medical care has remained constant in recent years. "Our premiums are pretty much tracking what medical costs are doing," he said.
--quoted in Associated Press story
