The Total Pretax Earnings of these 6 US Big Health Insurance Corps for the 1Q 2012 were down 3% as compared with the 1Q 2011.
Below here are the individual Pretax Income results for the 1Q 2012 for each of these Big 6 Health Insurance Corps, along with a comparison with the prior year’s 1Q amounts.
| Increase | Increase | |||
| PTI | PTI | (Decrease) | (Decrease) | |
| 1Q 2012 | 1Q 2011 | Amount | % | |
| mils $s | mils $s | mils $s | ||
| Health Insurance | ||||
| United Health | 2,169 | 2,103 | 66 | 3% |
| WellPoint | 1,310 | 1,427 | (117) | -8% |
| Aetna | 784 | 898 | (114) | -13% |
| Cigna | 552 | 579 | (27) | -5% |
| Humana | 390 | 497 | (107) | -22% |
| Coventry | 275 | 171 | 104 | 61% |
| Total all 6 | 5,480 | 5,675 | (195) | -3% |
The Big 5 US Health Insurance Corps are United Health, WellPoint, Aetna, Cigna and Humana. Here is the Total Pretax Income Percentage Increase over the preceding year of these Big 5 for the most recent three years.
Annual 2009.....+23%
Annual 2010.....+22%
Annual 2011.......+8%
What drove the above earnings growth deceleration in Annual 2011 was the Affordable Health Care Act, parts of which started kicking in early in 2011.
So what happened with the Total Pretax Income growth of these Big 5 in the most recent 1Q 2012?
Instead of increasing, it actually declined by 5%.
By reducing health care insurance premiums, Kathleen Sebelius and the Affordable Health Care Plan both flat out rock for the 99%. The US health care cost curve has been bent down by this very effective execution.
