Corporate Insurance Could Drop

companyinsurance1-300x214According to the CEO of Humana Louisville, Michael McCallister, until today inertia have been able to keep various large companies from completely canceling their health insurance coverage.

This may not be the case for very long. Companies will be calculating their best options to see how cost effective it may or may not be to either cancel or continue offering coverage as the health care reform will be in action in 2014. Addressing a crowd of over 250 people on Tuesday at Xavier Cincinnati USA Regional Chamber seminar he stated that the bias and pressure would be towards the sending of people to the exchanged due to health care costs rising faster than inflation.

According to McCallister it is not yet known whether Humana be selling products to the insurance exchanges which would be something of a clearinghouse with plans for those who are uninsured or have small businesses. Humana in its medical plans have 358,000 people enrolled and is known as the 3rd largest insurer in the Tri-State. McCallister also said that costs will only stabilize after the country has dealt with the health care system and make a effective shift to promoting health care instead of treating symptoms. Insurance companies have focused in managing their health population according to McCallister but most companies tend to not stay for a long period with one particular insurance company to achieve the full effectiveness of their efforts. He also said that even small and larger insurance carriers the issue will likely fade away.