Today, Energy and Commerce Chairman Frank Pallone, Jr. (D-NJ) released a statement announcing the Energy and Commerce Committee will launch an investigation into health and dental insurance companies’ business practices following reports that many of the companies are recording record profit margins during the COVID-19 pandemic:
“While the American people grapple with an unprecedented crisis, health and dental insurance companies appear to be making record profits as millions of people forego care and avoid doctors’ offices.
“Although the Affordable Care Act requires many health insurance companies to limit their profit margins and issue rebates to consumers, I believe insurers should be doing more to help enrollees and providers immediately. This assistance could be through premium reductions, extending policies to eliminate cost-sharing for COVID-19 treatment through the end of the public health emergency and extending low or zero interest loans to community providers.
“I‘m also deeply concerned by reports that many insurers are denying coverage for COVID-19 tests while sitting on large cash reserves. Large scale testing is the only way we can get beyond this crisis, and insurers who are imposing restrictions on coverage of COVID-19 testing are making this task harder. This is unacceptable.
“In the coming days, the Energy and Commerce Committee will send oversight letters to a series of health and dental insurance companies seeking answers to a variety of questions. I want to know if they‘re in compliance with existing statute requiring COVID-19 testing be free of consumer cost-sharing for all patients and how they intend to use their profits to help the American people during this time of crisis."
