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What the fall in Wellpoint's Profitability means to the industry

April 29, 2008

Analysis of:WellPoint Net Slides 25% | online.wsj.com

This article clearly shows to me that insurers will price business to sell when it makes no sense which results in them telling Wall Street they underpriced the business. We see them so crazy competitive on cases that nobody else even wants just to bring their total membership up to please Wall Street as they are focused on the outcome of a quarter and not the year...shortsighted. The largest insurer is way off on their profitability projections.

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