Health overhaul promises pain, gain for businesses (Drug and the “Evil” Insurance companies are the winners)
When historians write the book on how’s became law, they’ll need to leave space for some unlikely advocates: lobbyists for the drug, insurance and hospital industries.Last summer, executives from those groups visited the White House and pledged to do their part to help pay for the health bill. By signing on to the effort early and agreeing to absorb some of the costs, they were able to help shape its final form.
Only time will tell how smart that trade-off was for the industries, but a quick look at the bill passed by the House late Sunday shows it was far from their worst-case scenario:
• A government-run health care plan that would compete against private insurers? Never made it out of the Senate.
• Price controls on Medicare’s prescription-drug program that would squeeze drug industry profits? Quietly dropped from consideration last fall.
• Cuts in payments to hospitals serving Medicare patients? Trimmed to modest levels and delayed until 2014.
To be sure, the shift in the nation’s health care landscape will challenge companies. But most experts believe the short-term profit squeeze ultimately will be outweighed by the business of millions of new patients entering the system.
The Standard & Poor’s health care index has gained 30 percent since the market bottom last March and is just 12 percent from its 2007 peak.stocks have risen over the past year with the broader market, with insurers seeing the biggest gains.
Here is a breakdown of how various sectors fared in the overhaul effort.
Read the whole story at Yahoo News