Physician Health Insurance

[BlackSails]

Why dont some doctors form an insurance company? They hire some people to run it, make it as efficient as possible and market it directly to their patients. ("Oh, you know, you should really think about switching your insurance to Ascelpsius Insurance.) The goal of this company would not be to make a profit for itself, but just to help patients and doctors. Without the executives raking off the profit, the excess money could go into higher reimbursements and decreased premiums.

Or is this a stupid idea?

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[LADoc00]

Why dont some doctors form an insurance company? They hire some people to run it, make it as efficient as possible and market it directly to their patients. ("Oh, you know, you should really think about switching your insurance to Ascelpsius Insurance.) The goal of this company would not be to make a profit for itself, but just to help patients and doctors. Without the executives raking off the profit, the excess money could go into higher reimbursements and decreased premiums.

Or is this a stupid idea?

Its been done. In California that was called the original Blue Cross but courts determined that MDs being both the payors and payees was illegal...since then it has been attempted multiple times with dismal results, mostly due to massive mismanagement.

 

[docB]

I can't imagine that would be legal under the antikickback and RICO laws.

Also, I suspect you're assuming that an insurance company run by physicians would be above the greed based denials and overcharging of a regular insurance company. I have not found it to be the case that doctors are less greedy than other people. I have found while not being less likely to screw patients they are not as good at it as insurers.

 

[meehawl]

Why dont some doctors form an insurance company? They hire some people to run it, make it as efficient as possible and market it directly to their patients. ("Oh, you know, you should really think about switching your insurance to Ascelpsius Insurance.) The goal of this company would not be to make a profit for itself, but just to help patients and doctors.

http://en.wikipedia.org/wiki/Kaiser_Permanente