Thursday, September 23, 2010

It was only a matter of time

The L.A. Times reports that the first health insurance companies to begin trimming back their offerings after the reform bill are now doing so. [Article here.] It should probably come as no surprise that when you take away someone's incentive to provide a service, they cease to provide it.

I found particularly funny the (in his mind) rhetorical question posed by the reform pundit in the article: "Insurers need to decide if they are in the business of providing care or denying coverage." Actually, neither. They are not in the business of providing care, but risk management. Requiring them to do something else sounds like an invitation for them to go on strike to me.

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