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Total Compensation of CEOs at U.S. Health Insurance Companies Managed health care in the United States includes almost 1,000 companies representing revenues of more than $500 billion per year. The largest companies in the industry include members of the Blue Cross & Blue Shield Association, Aetna, Humana and UnitedHealth. Chief executive officers and senior leaders earn substantial compensation awards, including salary, bonus, options and deferred compensation plans. Many health insurance companies have suffered lower revenues, credit declines and portfolio losses since 2007, according to the Bureau of Labor Statistics. Author James W. White considers chief executive officers' salaries at health insurance companies in "Contemporary Moral Problems." Health insurance CEOs earn from several hundred thousands to millions per year while more individuals struggle for basic health care. According to U.S. Government Affairs, each citizen's health care costs rose to $7,498 in 2007. Projected costs of $12,782 per person by 2016 create more stress on an overburdened health insurance system. Health insurers' profitability comparisons demonstrate the broad range of CEO compensation structures in place in recent years. High-performing health insurance companies may pay the CEO less than a company struggling for higher profits. For example, Aetna of Connecticut earned $34.76 billion in 2009 and achieved gross sales growth of 12.32 percent. The company's net income was $1.28 billion, and the year- to-year net income declined about 7.77 percent against net income in 2008. Aetna paid the exiting CEO about 1.4 percent of the company's net, or $18,058,162. Comparatively, UnitedHealth Group earned $3.82 billion in net income on improving profitability and margins. The company's CEO earned two-tenths of a percent of the company's net income, or $8,901,916. "Medicare is the clearest reflection of Canadian values. It is an efficient, morally just and administratively superior way to deliver health care. We cannot allow ideologically motivated politicians to continue to slash away at funding and corporations to push for-profit delivery. We need to let them know that this is where we draw the line. Medicare is not for sale." from the Council of Canadians website September 22, 2008 Groups cry foul over private clinic opening Friends of Medicare and the Council of Canadians are leading a wide coalition of Albertans who are concerned about the Copeman private health clinic opening in Calgary on Monday September 22. Calgary has a serious shortage of doctors and health professionals. The Copeman Healthcare Centre’s plan to charge a fee to access a doctor is only going to make the situation worse. Copeman clinics charge an entrance fee of $3,900 dollars up front and an annual fee of $2,900 dollars to access their doctors, nurses and therapists. In addition to this private income, doctors at the Copeman clinic also bill the public health care system for insurable services. Friends of Medicare and The Council for Canadians are concerned that the Copeman clinic would reject patients who require care but could not afford the extra fees they are charging. "We are delivering a letter to Mr. Copeman asking for his personal assurance that no one would be turned away even if they could not pay," said David Eggen, Executive Director for Friends of Medicare in Alberta. "It is particularly shocking that a private clinic that flouts the Canada Health Act would open in the middle of a federal election, right in Stephen Harper's back yard," said Eggen. "This follows a pattern where the Federal government is not enforcing the Canada Health Act and allowing private clinics to get a foothold at the expense of public health care." “The federal government has turned a blind eye to private clinics in Canada. The government – the Conservatives in particular – has allowed a two-tier system where people who have money can pay to see a family doctor, like they do at the Copeman clinic,” says Maude Barlow, national chairperson of the Council of Canadians. “Canadians support a public health care system and the government has a responsibility to ensure that the Canada Health Act is enforced and violators are fined.” Since Canada is in the middle of a federal election Friends of Medicare organized a march and demonstration to the Copeman clinic on Monday to make a "Health Care Promise" to protect the Canada Health Act and to work to strengthen and expand publicly funded non- profit service delivery. "Canadians want to see improvements to their public health care for everyone, instead of this exclusive "boutique" clinic that only benefits a few," said Eggen, "Health care is number one for voters. It's time to see some action."
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