A common misconception is that the Patient Protection and Affordable Care Act, also known as Obamacare, is bad for the health-insurance business. In reality, however, Obamacare is a pretty good deal for health insurers. In this video, Motley Fool health-care analyst David Williamson takes a good look at health insurers, and the Obamacare enrollment numbers that would need to take place for this to be financially beneficial. He also focuses on customer mix and looks at how many young, healthy people need to enroll in order to benefit insurers, and how likely it is that that customer mix ratio will happen.
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Is Obamacare as bad for insurers as some would believe?
David Williamson owns shares of UnitedHealth Group. The Motley Fool recommends UnitedHealth Group and WellPoint and owns shares of WellPoint. We Fools don't 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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