Health insurance companies finished strong in 2021 with higher than ever profits despite the many ups and downs of the pandemic.
Health insurance giant, UnitedHealth Group (UHG), rose to the top with a whopping $17.3 billion in earnings. They have been the profit leader for more than two years now, benefiting greatly from the pandemic. CVS Health takes second place with a hefty $7.3 billion in earnings, ending its fourth-quarter strong, thanks to an uptick in testing kits and booster shots. Although the two companies are close in overall revenue, UHG ultimately made it to the top due to the pharmaceutical business generated from Optum Inc. Optum was formed by merging UHG’s existing pharmacy and care delivery service into a single subsidiary. Both companies have forecasted revenue growth to top $300 billion in 2022.
Part of these huge earnings came from health insurers paying out fewer medical claims. During the pandemic, many people delayed healthcare, allowing insurers to hold onto premiums they may otherwise be paying out. Also, acquisitions made by some of the larger players, resulted in mega-organizations that included a host of middlemen: physicians groups, health providers, health information systems, and much more.
The CEOs of these entities also enjoyed great financial success, making a combined total of $283 million dollars!
We understand the paths such health insurance entities take in order to generate incredibly large profits. At ECCHIC, our goal is to help employers and their employees to avoid overpaying and adding to the profits of giants.
You deserve to have a voice. You deserve to truly understand your health insurance plans. ECCHIC acts as your guide for navigating the ever-evolving healthcare industry and ensures plans that make sense for you and your employees. Our “Own Your Own Plan” option cuts out the middleman along with all the unnecessary costs. We customize a plan that meets the unique needs of your group to not only save you time and money, but also provide an enhanced level of confidence for understanding the ins and outs of your health insurance plan.
To learn more about our services, visit our website or join one of our monthly webinars. We are here to protect you and your employees from unwanted and unnecessary added costs. Call 1-800-280-0010 for a NO cost, NO obligation consultation or evaluation.