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Politics : A US National Health Care System?

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To: TimF who wrote (13432)2/13/2010 10:43:19 AM
From: Road Walker  Read Replies (1) of 42652
 
Assume costs are 100. Then you have a 38 percent increase, and they are 138. Then you have a decrease back to 100 (from an increase in young people in the mix). That's about a 27 and a half percent decrease (but its equal to the 38 percent increase from before, I'm not playing semantics to try to claim its a smaller change, it isn't a smaller change in an absolute sense, just a smaller part of the new larger baseline).

That's a percent of gross or net calculation... but outside of that...

If you restore all the healthy people who dropped their insurance and add more healthy people who have to pay premiums, then presumably at the end of the day (or the fiscal year) the insurance company would have larger profits than they did at the baseline... which could be used for lower premiums or to the benefit of stockholders (my guess it would go to the later but that's another discussion).
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