Insurers Face $1 Trillion Revenue at Stake in Health Law
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Health insurers will gain $1 trillion in new revenue over the next eight years under the 2010 health-care law, assuming it’s upheld by the Supreme Court, according to a Bloomberg Government study.
The amount is equal to about one-half percent of the nation’s estimated gross domestic product from 2013 to 2020, and insurers led by UnitedHealth Group Inc. would keep about $174 billion -- $22 billion a year -- for profit and administrative costs. The money comes from U.S. subsidies to people purchasing insurance beginning in 2014 and an expansion of Medicaid, the government’s health program for the poor.