Patients Over Profits Act Introduced to Combat Corporate Ownership of Health Care

Strategic Insights -

U.S. Representative Val Hoyle (OR-04) has joined a bipartisan group of lawmakers in introducing the Patients Over Profits Act, aimed at preventing large insurance companies and their subsidiaries from buying up independently owned clinics, prioritizing patient care over corporate profits. The legislation comes in response to concerns over the consolidation of the health care industry, which has led to patients facing reduced access to care, higher costs, and a focus on shareholder returns over medical treatment.

Key Takeaways:

  • The Patients Over Profits Act aims to prevent large insurance companies and their subsidiaries from buying up independently owned clinics, citing concerns over reduced access to care, higher costs, and a focus on shareholder returns over medical treatment.
  • UnitedHealth-owned Optum has gobbled up dozens of clinics in Oregon, New York, and Washington, raising concerns over patient access and quality of care.
  • The bill is supported by numerous organizations, including the American Economic Liberties Project, Center for Health and Democracy, and Public Citizen.
  • The legislation seeks to break up multi-billion-dollar companies' control over the health care system, allowing patients to access care when and where they need it.
  • According to the Center for Health and Democracy's Sunlight Report on UnitedHealth Group, UnitedHealth employs or contracts with over 90,000 doctors and owns over 750 clinical subsidiaries nationwide.
  • The consolidation of the health care industry has led to patients facing reduced access to care, higher costs, and a focus on shareholder returns over medical treatment.
  • The Patients Over Profits Act is cosponsored by U.S. Senators Jeff Merkley (D-Ore.), Elizabeth Warren (D-Mass.), and Edward J. Markey (D-MA), and U.S. Representatives Pat Ryan (NY-18), Pramila Jayapal (WA-07), Alexandria Ocasio-Cortez (NY-14), and Val Hoyle (OR-04).
  • Organizations supporting the legislation include the American Economic Liberties Project, Center for Health and Democracy, Health Care for America Now, Just Care, Labor Campaign for Single Payer, MoveOn, Physicians for a National Health Program, Public Citizen, Social Security Works, and Puget Sound Advocates for Retirement Action.

Statistics:

  • UnitedHealth employs or contracts with over 90,000 doctors, roughly 10 percent of the U.S. physician workforce (Source: Center for Health and Democracy's Sunlight Report on UnitedHealth Group).
  • UnitedHealth owns over 750 clinical subsidiaries nationwide (Source: Center for Health and Democracy's Sunlight Report on UnitedHealth Group).
  • Patients have been removed from care after being acquired by UnitedHealth-owned Optum (Source: various lawmakers and organizations).
  • Patients face reduced access to care, higher costs, and a focus on shareholder returns over medical treatment due to the consolidation of the health care industry (Source: various lawmakers and organizations).

Sources:

  • The office of Oregon Rep. Val Hoyle
  • The American Economic Liberties Project
  • The Center for Health and Democracy
  • Health Care for America Now
  • Just Care
  • Labor Campaign for Single Payer
  • MoveOn
  • Physicians for a National Health Program
  • Public Citizen
  • Social Security Works
  • Puget Sound Advocates for Retirement Action
  • UnitedHealth Group (via Center for Health and Democracy's Sunlight Report)