Insurance companies hold billions in fast food stock by Niki2

REAL WORLD EVENT DISCUSSIONS

Insurance companies hold billions in fast food stock

POSTED BY: NIKI2
UPDATED: Sunday, April 18, 2010 15:41
SHORT URL:
VIEWED: 714
PAGE 1 of 1

Sunday, April 18, 2010 8:00 AM

Gettin' old, but still a hippie at heart...

Someone mentioned this in passing in the discussion of health insurance and healthy lifestyles. The sentence intrigued me, so I checked it out. Well, here it is in detail:

Quote:
The fast-food industry has long been under fire for selling high-fat, high-calorie meals that have been linked to weight gain and diabetes, but the financial health of the industry continues to attract investors -- including some of the leading insurance companies in the U.S., a new study reports.

According to Harvard Medical School researchers, 11 large companies that offer life, disability, or health insurance owned about $1.9 billion in stock in the five largest fast-food companies as of June 2009.

The fast-food companies included McDonald's, Burger King, and Yum! Brands (the parent company of KFC and Taco Bell). Companies from both North America and Europe were among the insurers, including the U.S.-based Massachusetts Mutual, Northwestern Mutual, and Prudential Financial.

The researchers say insurance companies should sell their fast-food stock or use their influence as shareholders to make fast food healthier, by pressuring big restaurant chains to cut portion sizes or improve nutrition, for instance.

There's a "potential disconnect" between the mission of insurance companies and the often-unhealthy food churned out by companies like McDonald's, they write.

"The insurance industry cares about making money, and it doesn't really care how," says the senior author of the study, J. Wesley Boyd, M.D., an assistant clinical professor of psychiatry at Harvard Medical School, in Boston. "They will invest in products that contribute to significant morbidity and mortality if doing so is going to make money."

Boyd and his colleagues used a database that draws on financial filings and news reports to estimate the fast-food investments of the 11 companies. Their findings appear in the American Journal of Public Health.

http://www.cnn.com/2010/HEALTH/04/15/insurance.fast.food.stock/index.h
tml?hpt=Sbin

Think of that next time you eat their crap; you're contributing to the health insurance companies' profits. I don't think it's as simple in investing in whatever makes money, I think they're like the tobacco companies; whatever helps THEIR bottom line in more ways than one is a good thing...

"I'm just right. Kinda like the sun rising in the east and the world being round...its not a need its just the way it is." The Delusional "Hero", 3/1/10

NOTIFY: Y | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 8:29 AM

SIGNYM

I believe in solving problems, not sharing them.

Quote:
There's a "potential disconnect" between the mission of insurance companies and the often-unhealthy food churned out by companies like McDonald's, they write.

What's the disconnect? Like the article said, they're both in business to make a profit. Doesn't matter how!

NOTIFY: Y | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 8:56 AM

AURAPTOR

America loves a winner!

ALL businesses exist to make a profit. DUH!

But this reminds me of Maaaatt Daaamon ( thank you, Team America! ), who kept on harping the actuary tables on McCain, and how there'd be a 1 in 3 chance he'd die office. O.K., fine. Want to do thing " by the numbers" ? Then you can't have it both ways, now can you ?

Summer Glau can simply walk into Mordor

Bones: "Don't 'rawr' her!"
Booth: "What? she'rawred' me first."

NOTIFY: N | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 9:23 AM

NIKI2

Gettin' old, but still a hippie at heart...

Yup, and our system of for-profit health insurance is out to make money. Businesses look into all potential profit-making ideas, and hey, investing in fast foods is good for profit in TWO ways--make money off the fast-food chains, and make money off the patients eating their products having unhealthy lifestyles and needing health care more than others.

That way you can share lobbyists and contributions, get 'em to protect both the insurance agenda AND the fast-food agenda. Kill two birds with one stone, and hey, maybe a few people on the side. But what's a few million lives when money's at stake?

Smart move...unconscionable, but smart when making profits is your ONLY bottom line. Smart like raising premiums, denying coverage for things like pregnancy as a "pre-existing condition", dropping people when they get sick...all ways to increase the bottom line when your only goal is profits.

Works for them...and you too, obviously. Sad.

Your last remark has nothing whatsoever to do with the topic. Nobody mentioned numbers, but hey, if you want to, give 'em. You NEVER cite facts or where they come from, which is yet one more think that makes your contributions here pretty much irrelevant.

"I'm just right. Kinda like the sun rising in the east and the world being round...its not a need its just the way it is." The Delusional "Hero", 3/1/10

NOTIFY: Y | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 9:31 AM

AURAPTOR

America loves a winner!

Quote:
Originally posted by Niki2:

Your last remark has nothing whatsoever to do with the topic. Nobody mentioned numbers, but hey, if you want to, give 'em. You NEVER cite facts or where they come from, which is yet one more think that makes your contributions here pretty much irrelevant.

Sorry I have to draw you a picture here, but I guess it needs to be done.

The POINT here is that ins companies are making a profit on the success of fast food businesses, correct ? Seems they are " going by the numbers " to earn a positive return on their investment dollar. Dollars their own stock holders expect to grow. Doesn't matter if they were investing in big oil, pork bellies or any other business, right ? So, all I did was connect the same philosophy w/ Matt Damon's remarks on John McCain and the actuarial charts. What's good for you on one position should carry over on all matters, no ? If not, then explain. Please.

Summer Glau can simply walk into Mordor

Bones: "Don't 'rawr' her!"
Booth: "What? she'rawred' me first."

NOTIFY: N | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 10:28 AM

NIKI2

Gettin' old, but still a hippie at heart...

Never heard anything about 'John McCain and the actuarial charts", so I can't remark, and your assumption that it's "good" for me makes no sense.

You don't need to draw a picture, I get it. There are, believe it or not, companies who care whether they invest in something deleterious and find OTHER things to invest in to make a profit. That was my point; given the choice, it figures health insurance companies would go for something like fast foods, since it's something that enhances their bottom line in TWO ways, both gaining profit and making for more unhealthy people who bring them further profit.

It's neither here nor there. Given they are serious investors, they COULD have an effect on the healthiness of fast-food joints' products, but yeah, I realize the ONLY thing important to them is profit. That was my point; it's just amusing that they choose to invest where they do, in a part of the economy that fosters the need for their services.

"I'm just right. Kinda like the sun rising in the east and the world being round...its not a need its just the way it is." The Delusional "Hero", 3/1/10

NOTIFY: Y | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 11:14 AM

SIGNYM

I believe in solving problems, not sharing them.

Quote:
ALL businesses exist to make a profit. DUH!

Only under capitalism. DUH!

Quote:
Want to do thing " by the numbers" ? Then you can't have it both ways, now can you ?

Yeah, but what's your point?

NOTIFY: Y | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 12:24 PM

AURAPTOR

America loves a winner!

Quote:
Originally posted by Niki2:Never heard anything about 'John McCain and the actuarial charts", so I can't remark, and your assumption that it's "good" for me makes no sense.

30 seconds in, is to what I was referring.

Quote:
You don't need to draw a picture, I get it. There are, believe it or not, companies who care whether they invest in something deleterious and find OTHER things to invest in to make a profit. That was my point; given the choice, it figures health insurance companies would go for something like fast foods, since it's something that enhances their bottom line in TWO ways, both gaining profit and making for more unhealthy people who bring them further profit.

There's only one small problem. THEY don't make for more unhealthy people. The PEOPLE are the ones who are choosing to eat unhealthy. The Ins. companies are only making $$ by in essence betting that folks will continue to do so. We all have the power to choose what we want to eat, but sadly, too few use that power. Can't blame the Ins. company for being smart w/ their investment $$.

Quote:
It's neither here nor there. Given they are serious investors, they COULD have an effect on the healthiness of fast-food joints' products, but yeah, I realize the ONLY thing important to them is profit. That was my point; it's just amusing that they choose to invest where they do, in a part of the economy that fosters the need for their services.

What, we need THEM to save us from - ourselves ? Wow. You see people as being only lemmings, and not much more.

So, where's your position on the Gov't and tobacco ? They urge folks not to use it, tax the bejesus out of it, and damn near demonize anyone who sells or buys the stuff, yet reap ungodly amounts of windfall from its sale. A perfect catch 22, is it not ?

Sorry , just another example that's neither " here nor there", as you like to say.

Summer Glau can simply walk into Mordor

Bones: "Don't 'rawr' her!"
Booth: "What? she'rawred' me first."

NOTIFY: N | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 12:32 PM

WHOZIT

YUM YUM YUM!

http://www.zap2it.com/news/pictures/sns-nutrition-food-porn,0,3149638.
photogallery

NOTIFY: Y | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 1:36 PM

GEEZER

Keep the Shiny side up

Quote:
Originally posted by Niki2:
Yup, and our system of for-profit health insurance is out to make money. Businesses look into all potential profit-making ideas, and hey, investing in fast foods is good for profit in TWO ways--make money off the fast-food chains, and make money off the patients eating their products having unhealthy lifestyles and needing health care more than others.

But if the clients of the insurance companies need more health care, then the insurance companies should have to pay out more in premimuns, shouldn't they?

Also, the figures quoted in the report, even if correct (which the companies dispute) are far less than 1% of their total investments. And since many of the companies, like Mass Mutual and Prudential, also handle third party investments in index funds, the money invested could have nothing to do with their life, disability, or health insurance businesses.

BTW, Dutch-based ING is one of the larger investors in fast food, with $406 million in.

Just more sound bites, seems to me.

"Keep the Shiny side up"

NOTIFY: Y | REPLY | REPLY WITH QUOTE | TOP | HOME

Sunday, April 18, 2010 3:41 PM

AURAPTOR

America loves a winner!

Quote:
Originally posted by Geezer:

BTW, Dutch-based ING is one of the larger investors in fast food, with $406 million in.

Just more sound bites, seems to me.

"Keep the Shiny side up"

So, folks investing in, or saving with ING are making $$ off the fatties who eat fast food?

Awesome!

Summer Glau can simply walk into Mordor

Bones: "Don't 'rawr' her!"
Booth: "What? she'rawred' me first."

NOTIFY: N | REPLY | REPLY WITH QUOTE | TOP | HOME

YOUR OPTIONS

SHARE THREAD

NEW POSTS TODAY

USER	POST DATE

USER

POST DATE