Anthem Blue Cross business model doomed in failing economy
Last updated 2/25/2010 at Noon
Anthem Blue Cross of California announced that individual policy holders will see whopping rate hikes of up to 39%. This appears as a big win for Anthem, and is sure to open the spigot of payoff money to GOP congressmen and politicians.
Anthem justified its action as a business decision: “A higher proportion of healthy individuals are choosing not to enroll, leaving an insured pool that utilizes significantly more services.” Translation: “We are left no choice but to squeeze more money out of the remaining desperate, less healthy or older policyholders.”
Anthem’s business model...