Please ensure Javascript is enabled for purposes of website accessibility
Buffetcare Health Insurance, Anyone? How About Amazoncare?
bill-new-mug-002
By Bill McEwen, News Director
Published 6 years ago on
January 30, 2018

Share


Opinion by
Bill McEwen
Obamacare is being reduced to a faint pulse. Trumpcare isn’t fully formed, and likely will never be.
So why wouldn’t three American billionaires put their ingenuity and their bankrolls into creating a health insurance company to service the needs of their employees?
“The ballooning costs of health care act as a hungry tapeworm on the American economy.” — Warren Buffett
Warren Buffett, Jeff Bezos and Jamie Dimon delivered the shock felt around the news world — and the stock markets — Tuesday by revealing they would team up to provide their U.S. workers and families with a better option on health care.
Their health insurance company doesn’t have a name yet.

Health Stocks Fall Tuesday

But the mere announcement of their plans sent health-care stocks tumbling. According to CNN Money, top insurer UnitedHealth fell 3%, as did Aetna and Humana. Meanwhile, Cigna and Anthem dropped more than 5%. The carnage didn’t end with the big insurers. Drug-store titans CVS and Walgreens each fell more than 4%, CNN Money reported. And pharmacy benefits manager Express Scripts plunged almost 7%.
To be fair, CNBC reported Tuesday that shares of Berkshire and J.P. Morgan were off slightly, while Amazon edged higher.
“The ballooning costs of health care act as a hungry tapeworm on the American economy,” Buffett said in a prepared statement. “We share the belief that putting our collective resources behind the country’s best talent can, in time, check the rise in health costs while concurrently enhancing patient satisfaction and outcomes.”
It isn’t a tapeworm — either real or metaphorical — that is making the health-care kingpins sweat. It’s the prospect of Buffett, Bezos and Dimon successfully shaving costs and improving outcomes for their employees and then taking what they learn into the entire U.S. market.
“The three of our companies have extraordinary resources, and our goal is to create solutions that benefit our U.S. employees, their families and, potentially, all Americans,” Dimon said.

The statement announcing the formation of the new company said that it would be “free from profit-making incentives and constraints.”
Something else surely caused alarm. The statement announcing the formation of the new company said that it would be “free from profit-making incentives and constraints.”

Health Care Reform Is Difficult

Perhaps now is a good time to consider a contrarian scenario. American health care is an untameable beast fed by countless competing agendas. It will never be reformed, and costs will always rise. And it’s not like mega-companies such as United Health, Humana and CVS are small potatoes. They aren’t accustomed to losing money or market share.
According to this scenario, there is nothing here really to look at. Other than the fact that several hundred thousand folks working at Bezos’ Amazon, Buffett’s Berkshire Hathaway, and JPMorgan Chase (where Dimon is the CEO) might get good health-care insurance at lower rates.
Bezos acknowledged the challenge ahead, saying, “The health care system is complex, and we enter into this challenge open-eyed about the degree of difficulty. Hard as it might be, reducing health care’s burden on the economy while improving outcomes for employees and their families would be worth the effort.”

What This Big Three Bring to the Table


The GEICO gecko
The names Bezos, Buffett and Dimon are synonymous with success and wealth, as are their companies.
But they also bring an interesting synergy to the health-care table.
Amazon is the master of innovation, distribution and cost-cutting.
JP Morgan Chase obviously knows regulatory issues, money and banking.
And Berkshire Hathaway?
That auto insurer whose ads feature a gecko? Yes, Buffett’s company owns GEICO.
Good luck, gentlemen.

DON'T MISS

Sacramento Gave Homeless Camp a Lease as an Experiment. Here’s What Happened.

DON'T MISS

Merced Supervisors Accused of ‘Triple Crown Race’ of Failures Amid Talk of Closing Fire Stations

DON'T MISS

Teacher Appreciation Week Surprises That Educators Will Love

DON'T MISS

A Mission of Mercy, Then a Fatal Strike: How an Aid Convoy in Gaza Became Israel’s Target

DON'T MISS

Walberg Era Begins With a Charge to ‘Revolutionize’ Bulldogs Basketball

DON'T MISS

California Man Sentenced to 40 Years to Life for Fatal Freeway Shooting of 6-Year-Old Boy

DON'T MISS

16 Clovis Students Rewarded With Scholarships for Their Resilience

DON'T MISS

Dr. Green Thumb’s Is Open. Sweet Flower Debuts Saturday in Fresno Cannabis Rollout.

DON'T MISS

Reacher Star Alan Ritchson Calls Donald Trump a ‘Rapist’

DON'T MISS

Community Leaders Call for Transparency in Fresno Superintendent Search

UP NEXT

Merced Supervisors Accused of ‘Triple Crown Race’ of Failures Amid Talk of Closing Fire Stations

UP NEXT

Teacher Appreciation Week Surprises That Educators Will Love

UP NEXT

A Mission of Mercy, Then a Fatal Strike: How an Aid Convoy in Gaza Became Israel’s Target

UP NEXT

Walberg Era Begins With a Charge to ‘Revolutionize’ Bulldogs Basketball

UP NEXT

California Man Sentenced to 40 Years to Life for Fatal Freeway Shooting of 6-Year-Old Boy

UP NEXT

16 Clovis Students Rewarded With Scholarships for Their Resilience

UP NEXT

Dr. Green Thumb’s Is Open. Sweet Flower Debuts Saturday in Fresno Cannabis Rollout.

UP NEXT

Reacher Star Alan Ritchson Calls Donald Trump a ‘Rapist’

UP NEXT

Community Leaders Call for Transparency in Fresno Superintendent Search

UP NEXT

Israeli Settlers Rampage Through a West Bank Village, Killing 1 Palestinian and Wounding 25

Bill McEwen,
News Director
Bill McEwen is news director and columnist for GV Wire. He joined GV Wire in August 2017 after 37 years at The Fresno Bee. With The Bee, he served as Opinion Editor, City Hall reporter, Metro columnist, sports columnist and sports editor through the years. His work has been frequently honored by the California Newspapers Publishers Association, including authoring first-place editorials in 2015 and 2016. Bill and his wife, Karen, are proud parents of two adult sons, and they have two grandsons. You can contact Bill at 559-492-4031 or at Send an Email

A Mission of Mercy, Then a Fatal Strike: How an Aid Convoy in Gaza Became Israel’s Target

15 hours ago

Walberg Era Begins With a Charge to ‘Revolutionize’ Bulldogs Basketball

1 day ago

California Man Sentenced to 40 Years to Life for Fatal Freeway Shooting of 6-Year-Old Boy

1 day ago

16 Clovis Students Rewarded With Scholarships for Their Resilience

1 day ago

Dr. Green Thumb’s Is Open. Sweet Flower Debuts Saturday in Fresno Cannabis Rollout.

1 day ago

Reacher Star Alan Ritchson Calls Donald Trump a ‘Rapist’

1 day ago

Community Leaders Call for Transparency in Fresno Superintendent Search

1 day ago

Israeli Settlers Rampage Through a West Bank Village, Killing 1 Palestinian and Wounding 25

1 day ago

US Intelligence Finding Shows China Surging Equipment Sales to Russia to Help War Effort in Ukraine

1 day ago

From Tragedy to Triumph: The Land Before Time Litter’s Journey

1 day ago

Sacramento Gave Homeless Camp a Lease as an Experiment. Here’s What Happened.

When Sacramento changed its plan to demolish a homeless encampment on a vacant lot on Colfax Street, instead offering the homeless occupants...

12 hours ago

12 hours ago

Sacramento Gave Homeless Camp a Lease as an Experiment. Here’s What Happened.

14 hours ago

Merced Supervisors Accused of ‘Triple Crown Race’ of Failures Amid Talk of Closing Fire Stations

14 hours ago

Teacher Appreciation Week Surprises That Educators Will Love

15 hours ago

A Mission of Mercy, Then a Fatal Strike: How an Aid Convoy in Gaza Became Israel’s Target

1 day ago

Walberg Era Begins With a Charge to ‘Revolutionize’ Bulldogs Basketball

1 day ago

California Man Sentenced to 40 Years to Life for Fatal Freeway Shooting of 6-Year-Old Boy

1 day ago

16 Clovis Students Rewarded With Scholarships for Their Resilience

1 day ago

Dr. Green Thumb’s Is Open. Sweet Flower Debuts Saturday in Fresno Cannabis Rollout.

MENU

CONNECT WITH US

Search

Send this to a friend