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Capitol Health Call
October 14, 2009

Insurance “Purging” Explored

JAMA. 2009;302(14):1522. doi:10.1001/jama.2009.1459

House leaders are continuing to look into the business practices of health insurance companies and their cancellation of policies associated with high-cost claims.

On August 31, Rep Henry Waxman (D, Calif), chairman of the House Committee on Energy and Commerce, and Rep Bart Stupak (D, Mich), chairman of the Oversight and Investigations Subcommittee, sent letters to 6 major insurers asking for details on their practice of “purging” small businesses who have purchased group policies when the latter's employees become ill and their health insurance claims increase (http://energycommerce.house.gov/index.php?option=com_content&view=article&id=1728:chairmen-waxman-and-stupak-seek-information-on-health-insurance-industrys-practice-of-purging-small-businesses&catid=154:correspondence&Itemid=55).

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