Posted by & filed under Economic Analysis, Financial Planning, Industry Analysis.

Description: The nation’s major health insurers are barreling into a third year of record profits, enriched in recent months by a lingering recessionary mind-set among Americans who are postponing or forgoing medical care.

Source: NYTimes.com

Date: 05/13/2011

Link: http://www.nytimes.com/2011/05/14/business/14health.html?ref=business

Questions for discussion:

  • Summarize the financial relationships between health insurers, providers, and clients?
  • What is the current situation for the industry?
  • How likely is the situation to remain this way?
  • Is paying more dividends and raising reserves a good strategy?
  • How should financial managers prepare for the change when it comes?

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