Market Turmoil Takes Toll


Health insurance plans’ net income plummeted 36 percent in 2008, according to a recent report by Mark Farrah Associates, a consulting company. The company cites — what else? — the recession and market turmoil.

While overall revenues increased 6.2 percent, from $270 billion in 2007 to $287 billion in 2008, profit margins fell from 6.2 percent to 3.7 percent.

The top eight health plans — Aetna, Cigna, Health Care Service Corp., Health Net, Humana, Kaiser Permanente, UnitedHealth Group, and WellPoint — also saw their membership growth slow.

These eight plans saw substantial write-offs and write-downs of investment portfolios and reductions in investment income. Also, they missed membership growth targets.

In addition, there were increased employee severance charges and escalating medical loss ratios.

Career Opportunities

HAP, a subsidiary of Henry Ford Health System, is a nonprofit health plan providing coverage to individuals, companies and organizations. This executive develops strategies to meet membership and revenue targets through products, pricing, market segmentation and advertising.  Aligns business among Business Development, Commercial Sales, Medicare and Public Sector Programs and Product Development. Seeks to enhance and be responsible for business development and expansion through the development of an effective product portfolio, strong interpersonal relationships and service excellence.

Apply via email to jfedder1@hfhs.org or online at http://p.rfer.us/HENRYFORDlXqAJA

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