Whistle-blower: Health care industry engaging in PR tactics

[Guest guest]

_http://www.cnn.com/2009/POLITICS/08/12/health.industry.whistleblower/_

(http://www.cnn.com/2009/POLITICS/08/12/health.industry.whistleblower/)

Whistle-blower: Health care industry engaging in PR tactics

* Story Highlights

* Wendell Potter is a former vice president at insurance giant Cigna

* Potter says insurance companies use key buzzwords as scare tactics

* Potter also testified on his company's practice of 'purging'

* Cigna spokesman denies claims that the company engages in patient

purging

updated 6:36 p.m. EDT, Wed August 12, 2009

*

(http://www.cnn.com/2009/POLITICS/08/12/health.industry.whistleblower/#cnnSTCVid\

eo)

From Ed Hornick and Elaine Quijano

CNN

WASHINGTON (CNN) -- Wendell Potter knows a little something about the

health care industry's practices and is not afraid of to speak out as the

health care reform debate heats up around the country.

Wendell Potter once was a vice president in the public relations

department for insurance giant Cigna.

The former vice president of corporate communications at insurance giant

Cigna, who left his post, says the industry is playing " dirty tricks " in an

effort to manipulate public opinion.

" Words matter, and the insurance industry is a master at linguistics and

using the hot words, buzzwords, buzz expressions that they know will get

people upset, " he told CNN Wednesday.

Now a senior fellow on health care for the watchdog group Center for Media

and Democracy, Potter writes a blog on health care reform. He is focusing

on efforts to defeat legislation supporting a government health care plan

-- something he supports.

In early July, Potter testified before the Senate Commerce Committee,

telling senators that " I know from personal experience that members of Congress

and the public have good reason to question the honesty and

trustworthiness of the insurance industry. "

Potter described how underwriters at his former company would drive small

businesses with expensive insurance claims to dump their _Cigna_

(http://topics.cnn.com/topics/CIGNA_Corporation) policies. Industry executives

refer

to the practice as " purging, " Potter said.

" When that business comes up for renewal, the underwriters jack the rates

up so much, the employer has no choice but to drop insurance, " Potter had

said.

In an e-mail to CNN, Cigna spokesman Curran denied the company

engages in purging.

" We do not practice that. We will offer rates that are reflective of the

competitive group health insurance market. We always encourage our clients

to compare our proposed rates to those available from other carriers, "

Curran wrote.

Don't Miss

* _In Depth: Money and Main Street_

(http://www.cnn.com/SPECIALS/2009/money.and.main.street/)

* _Potter's blog_ (http://www.prwatch.org/blog/35267)

But now, Potter is back in Washington at the invitation from Rep. Louise

Slaughter, D-New York. He is questioning insurance companies' public

relations tactics -- and says some of the questions from town hall meetings are

familiar. _Watch more on the health care reform debate »_

(http://www.cnn.com/2009/POLITICS/08/12/health.industry.whistleblower/#cnnSTCVid\

eo)

" People talk about the government takeover of the system ... that's a buzz

term that comes straight out of the insurance industry, " he said.

A Cigna spokesman would not comment directly on Potter's accusations.

Instead, the company released a written statement saying officials agree that

health care reform is needed. But the statement went on to say that

officials don't see how a government-sponsored plan can accomplish that.

But Potter's concerns fall right in line with the Democrats' strategy of

hitting insurance companies hard this summer. Republicans argue that

insurance companies aren't solely to blame for the health care crisis, noting

that

many of their constituents are perfectly happy with the current system.

The Democratic Party is also dealing with a group of fiscally conservative

members known as " Blue Dogs " who are worried over the high costs of the

_health care_ (http://topics.cnn.com/topics/Health_Care_Policy)

plans being bandied about.

Slaughter says that the concerns over a government option may be set up to

" try and protect one industry " -- referring to the health insurance

industry.

Potter insists he has no agenda -- just a deep passion for the issue.

" This is hard to do. It's scary to do something like this. I don't think

I'm any more courageous than anybody but I feel I had to do this. "

Potter also has said he decided to resign in 2007 after Cigna's

controversial handling of an insurance claim made by the family of a California

teenager, Nataline Sarkysian.

The Sarkysian family made repeated appeals at news conferences for Cigna

to approve a liver transplant for the 17-year-old, who had leukemia. Cigna

initially declined to cover the operation, then reversed its decision.

Sarkysian died hours after the company's reversal.

[Guest guest]

Wow. What a shock--NOT. (Hear the sarcasm?!) Glad to hear that one of CIGNA's

former executives is speaking out.

________________________________

From: " snk1955@... " <snk1955@...>

Sent: Thursday, August 13, 2009 9:32:57 AM

Subject: [] Whistle-blower: Health care industry engaging in PR

tactics

_http://www.cnn. com/2009/ POLITICS/ 08/12/health. industry. whistleblower/ _

(http://www.cnn. com/2009/ POLITICS/ 08/12/health. industry. whistleblower/)

Whistle-blower: Health care industry engaging in PR tactics

[Guest guest]

Wow. What a shock--NOT. (Hear the sarcasm?!) Glad to hear that one of CIGNA's

former executives is speaking out.

________________________________

From: " snk1955@... " <snk1955@...>

Sent: Thursday, August 13, 2009 9:32:57 AM

Subject: [] Whistle-blower: Health care industry engaging in PR

tactics

_http://www.cnn. com/2009/ POLITICS/ 08/12/health. industry. whistleblower/ _

(http://www.cnn. com/2009/ POLITICS/ 08/12/health. industry. whistleblower/)

Whistle-blower: Health care industry engaging in PR tactics

* Story Highlights

* Wendell Potter is a former vice president at insurance giant Cigna

* Potter says insurance companies use key buzzwords as scare tactics

* Potter also testified on his company's practice of 'purging'

* Cigna spokesman denies claims that the company engages in patient

purging

updated 6:36 p.m. EDT, Wed August 12, 2009

*

(http://www.cnn. com/2009/ POLITICS/ 08/12/health. industry. whistleblower/

#cnnSTCVideo)

From Ed Hornick and Elaine Quijano

CNN

WASHINGTON (CNN) -- Wendell Potter knows a little something about the

health care industry's practices and is not afraid of to speak out as the

health care reform debate heats up around the country.

Wendell Potter once was a vice president in the public relations

department for insurance giant Cigna.

The former vice president of corporate communications at insurance giant

Cigna, who left his post, says the industry is playing " dirty tricks " in an

effort to manipulate public opinion.

" Words matter, and the insurance industry is a master at linguistics and

using the hot words, buzzwords, buzz expressions that they know will get

people upset, " he told CNN Wednesday.

Now a senior fellow on health care for the watchdog group Center for Media

and Democracy, Potter writes a blog on health care reform. He is focusing

on efforts to defeat legislation supporting a government health care plan

-- something he supports.

In early July, Potter testified before the Senate Commerce Committee,

telling senators that " I know from personal experience that members of Congress

and the public have good reason to question the honesty and

trustworthiness of the insurance industry. "

Potter described how underwriters at his former company would drive small

businesses with expensive insurance claims to dump their _Cigna_

(http://topics. cnn.com/topics/ CIGNA_Corporatio n) policies. Industry

executives refer

to the practice as " purging, " Potter said.

" When that business comes up for renewal, the underwriters jack the rates

up so much, the employer has no choice but to drop insurance, " Potter had

said.

In an e-mail to CNN, Cigna spokesman Curran denied the company

engages in purging.

" We do not practice that. We will offer rates that are reflective of the

competitive group health insurance market. We always encourage our clients

to compare our proposed rates to those available from other carriers, "

Curran wrote.

Don't Miss

* _In Depth: Money and Main Street_

(http://www.cnn. com/SPECIALS/ 2009/money. and.main. street/)

* _Potter's blog_ (http://www.prwatch. org/blog/ 35267)

But now, Potter is back in Washington at the invitation from Rep. Louise

Slaughter, D-New York. He is questioning insurance companies' public

relations tactics -- and says some of the questions from town hall meetings are

familiar. _Watch more on the health care reform debate »_

(http://www.cnn. com/2009/ POLITICS/ 08/12/health. industry. whistleblower/

#cnnSTCVideo)

" People talk about the government takeover of the system ... that's a buzz

term that comes straight out of the insurance industry, " he said.

A Cigna spokesman would not comment directly on Potter's accusations.

Instead, the company released a written statement saying officials agree that

health care reform is needed. But the statement went on to say that

officials don't see how a government-sponsore d plan can accomplish that.

But Potter's concerns fall right in line with the Democrats' strategy of

hitting insurance companies hard this summer. Republicans argue that

insurance companies aren't solely to blame for the health care crisis, noting

that

many of their constituents are perfectly happy with the current system.

The Democratic Party is also dealing with a group of fiscally conservative

members known as " Blue Dogs " who are worried over the high costs of the

_health care_ (http://topics. cnn.com/topics/ Health_Care_ Policy)

plans being bandied about.

Slaughter says that the concerns over a government option may be set up to

" try and protect one industry " -- referring to the health insurance

industry.

Potter insists he has no agenda -- just a deep passion for the issue.

" This is hard to do. It's scary to do something like this. I don't think

I'm any more courageous than anybody but I feel I had to do this. "

Potter also has said he decided to resign in 2007 after Cigna's

controversial handling of an insurance claim made by the family of a California

teenager, Nataline Sarkysian.

The Sarkysian family made repeated appeals at news conferences for Cigna

to approve a liver transplant for the 17-year-old, who had leukemia. Cigna

initially declined to cover the operation, then reversed its decision.

Sarkysian died hours after the company's reversal.