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Health insurance companies are already starting to game a key element of health care reform months before it even takes effect, according to a new report from the Senate Commerce Committee.
As in past years, the largest for-profit health insurers are still spending a phenomenal chunk of each premium dollar not on health care but on administrative costs -- and profits. The report found that in the individual health care market, for example, the largest health insurers spent on average more than 26 cents out of every premium dollar on administrative costs and profits, with some spending as much as 32 cents. That's on average; some state-based subsidiaries spent considerably more.