For those who think the House plan is a gift to insurance companies

[tinrobot]

Goldman To Private Insurers: No Health Care Reform At All Is Best

A Goldman Sachs analysis of health care legislation has concluded that, as far as the bottom line for insurance companies is concerned, the best thing to do is nothing. A close second would be passing a watered-down version of the Senate Finance Committee's bill.

(snip)

Things are much worse, Goldman estimates, for legislation that resembles what was considered and (to a certain extent) passed by the House of Representatives. This is, the firm deems, the "bear case" scenario -- in which earnings per share for the top five insurers would decline an estimated one percent from 2010 through 2019 and the variance with current valuation is projected to be negative 36 percent.

What the firm sees as the best path forward for the private insurance industry's bottom line is, to be blunt, inaction.

http://www.huffingtonpost.com/2009/11/12/goldman-to-private-insure_n_355998.html

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So, if we go with the House bill, the insurance companies lose 36% of their value over the next 10 years.

If do nothing or wait for a 'better' bill, they will continue to make large profits.

[Egnever]

1. Yup they finally got smart though

and instead of trying to outright kill it they are trying instead to insert amendments that will create enough controversy to kill it instead.

Seems to be working pretty well. I think they might have hit the gold mine with the abortion thing. If they can keep the PO out on the senate side I think they will have sucessfuly killed it.

[DJ13]

2. I think this is part of a negative propaganda campaign

Everyone involved in this debate knows how unpopular the insurance industry is and the near Pavlovian response people have when they are told (whether its true.... or not) that "the best way to hurt the insurers" is to pass reform as it currently exists.

Goldman Sachs knows how to play this game better than most anyone else, as the art of distraction is how Wall Street operates.

[truedelphi]

6. + 1. n/t

[rucky]

3. Snapping up 30 million new customers can do that to a portfolio.

They're trying to induce panic, which may actually work.

[notesdev]

4. I don't buy it

I'd have to see their calculations to put any stock in this pronouncement. If Goldman Sachs really opposed this legislation, believe you me it would never have passed.

[spin]

5. Insurance companies are parasites..

they live off the blood of the people they deny treatment.

[B Calm]

7. I wonder how they spinned NAFTA back when it was voted in. . .