How Obamacare Exchange Innovation Can Go Wrong
The Affordable Care Act has transformed health care in America both by law and by expanding innovation into a previously less-than-competitive space. Obamacare's state based exchanges are one of the battle grounds where we see traditional insurance heavyweights like UnitedHealth (NYSE: UNH) duke it out against nonprofits and start-ups. However, are these new models, as highlighted by recent stories on Oscar Health Insurance, good for consumers?
The problem comes when customers don't receive what they believed they were promised, regardless if the complaint is valid or not, and Oscar has seen its fair share of complaints. Life isn't easy for any start-up taking on an entrenched system full of well capitalized and well run businesses, let alone one its customer base is counting on working flawlessly every time.
In this episode of Where the Money Is, health care analysts David Williamson and Michael Douglass discuss the latest trends on Obamacare's exchanges, problems with the tech development process in health insurance, and why these are exciting times for investors.
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The article How Obamacare Exchange Innovation Can Go Wrong originally appeared on Fool.com.David Williamson owns shares of UnitedHealth Group. Michael Douglass has no position in any stocks mentioned. The Motley Fool recommends UnitedHealth Group and WellPoint. The Motley Fool owns shares of WellPoint. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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