Calling for Competition

" Fox News alert now about an hour ago we got a news release from senator Chuck Schumer Democrat in the fifth start the following way quoting now. Two days after health insurance lobby tried to. Sucker punch health care reform effort. Senator Schumer calls to invoke. Or -- rather health insurance industry's anti trust. Exemption that was the email that was the statement that was put out so what's going on here senator Schumer -- explain live on the hill senator good morning to you."

" Good glad to be back what are you trying to do here. Well you know -- the insurance industry is one of the least competitive industries health insurance in the country. The Justice Department says that 94%. Of the markets in the US are highly constricted. There's only one company that controls 81%. Of Alabama 78% of violent even in New York. Which is supposed to be the most competitive Sudan which your dual qualities -- that. So if you lifted the antitrust exemption and Fox News viewers who like this with good old fashioned American competition. You'd allow a lot more competition in all of these states if one company just dominated so. The Justice Department could come in and make sure that other costs and his proposal well it's state by state right within the State's borders that they were going well and -- driving market the way the way antitrust works its by the markets. You could have for instance in New York we have. Health insurance given for construction workers there are only two major companies that the contractors the general contractors can choose from. So even if there were ten companies doing some other kind of insurance. In that area there would be how possible -- understand -- look at how about this idea what about somebody -- Virginia been able to buy insurance in the State of New York. And I have no problem vice Versa how what why is that I think we should have a much. I think we should have as much competition as possible. And one of the main reasons that health insurance costs are going up three times this past. As everything else as general inflation is because there isn't competition. The insurers are the ones who -- supposed to hold down cost but the only have one or two when a given market. They never compete on cost that's what the economists left right center without my question -- this issue that is not idea let's."

" I see no momentum for this and I you know you're right about our viewers. The thirteen on the idea about getting more competition in the industry and our you know and I would. Probably argue that most Americans watching this would probably -- if it. But what do what they wanna know is a breakdown the barriers between states that there are hundreds and hundreds of insurance agencies."

" Give up but I don't look. No no no but UnitedHealth for instance is in 38 states. They just have different laws in each of the states I think the best way to get competition I don't have a problem with letting states compete. Throughout. And many of the companies do and I think you have to make it so that the consumer would be protected but. That's not gonna do the job. As I said most of our big it is not in one state UnitedHealth is not in one state they offer different plans in different states but. Bottom line you know they're here is there are many multi state insurance companies it's just. -- IOC who flew the -- here's my point is that Americans do one -- very well we're we're good consumers Wii shop and we do quite else yes the insurance agency were sitting in my chair talking you. They might consider this all out war against them is is this payback. For you know what I get is pushing quote and I explosion profits. This is senator Leahy's bill I've been a cosponsor I think his lead cosponsor for months. And I think it ought to be part of the large build the reason it hasn't been talked about yet. Is aid because it's not in the health committee of finance committee but rather in the Judiciary Committee but when we blend the bills. This should be part of it. Now the fact that the insurance industry is no longer part of the compromised. So to speak. May make it easier for it to pass but it's a good idea whether they're part of the compromise or not but there's been a lot of hyperbole frankly throughout this entire debate I think you'd even admit to that. Well -- other sources that has gone around and around and around is that the insurance company's profits are 150% up all our own research this week actually shows the major companies. They're profits between 3.5 percent four point 5%. That's an enormous difference and what this companies probably make an I'm is the hyperbole over overblown. That that was only a few insurance companies that that the villain. Well first I think the insurance companies need changing needs reform -- the markets are so highly concentrated. They're doing what's good for their stockholders that's their job that's how capitalism works. That doesn't mean congress should do what's good for their stockholders we should do what's good for our stockholders. -- the American people second you're the facts as I understand them. In the last eight years I believe it is. -- or maybe it's a decade insurance company profits went from to build the top ten companies went from two billion to twelve billion. And that is not just the 4% increase that what happened was is the industry consolidated. The profits went up Pocasset happens."

" I am I have to go we're out of time I apologize about that now however witness antitrust exemption you get to things like Major League Baseball. So next time we'll talk about the -- that next Democrat getting your check you know my guess I don't let -- see that scares anyone you've got."