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COLONIAL82

Former Republican bc of Rove, Bush, Cheney, and Christian Right
Articles Posted: 27  Links Seeded: 875
Member Since: 9/2008  Last Seen: 5/09/2012

CNN: Study: Insurance companies hold billions in fast food stock

Seeded on Thu Apr 15, 2010 10:41 PM EDT
Read ArticleArticle Source: CNN
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Seeded by Colonial82
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CNN: "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.

....................."

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Colonial82

Wow, just wow. I guess I should say that I am not surprised in the end when I read this, but I guess I really hope it was not true.

Everyone is always welcome on my seeds, I will recommend everyone's post for taking their time to do so, and I won't delete anyone. Please stay respectful of one another. Please watch your language

  • 3 votes
Reply#1 - Thu Apr 15, 2010 10:42 PM EDT
The Observer

MCD has been a good investment. Up 33% in a year.

    #1.1 - Thu Apr 15, 2010 11:07 PM EDT
    Colonial82

    Hi The Observer, thank you for your input and welcome.

    Now, that might be true, but it is a conflict of interest for their business. Their business is health insurance and better eating helps keep the healthcare costs down so supporting it only increases their costs.

    Have a great day :)

    • 1 vote
    #1.2 - Fri Apr 16, 2010 4:24 PM EDT
    Reply
    River-239955

    Quite the double standard, it would seem, yes?

    • 3 votes
    Reply#2 - Thu Apr 15, 2010 11:10 PM EDT
    The Observer

    No. The investment portion of the business is supposed to make good investments.

    The actuarial division prices death risk.

    • 1 vote
    #2.1 - Thu Apr 15, 2010 11:15 PM EDT
    River-239955

    No, because after they drop someone who is a high-risk, they are then losing that potential premium.

    • 3 votes
    #2.2 - Thu Apr 15, 2010 11:28 PM EDT
    Colonial82

    Hi River, thank you for your input and welcome.

    You are right, they are only hurting themselves long-term, but instead they care about short-term profit that will hurt them later.

    Have a great day :)

    • 3 votes
    #2.3 - Sat Apr 17, 2010 12:45 AM EDT
    Reply
    Shebow

    I don't think there is a double standard.  I don't think our health care is the mission of insurance companies anymore.  Pretty clearly spelled out in this article is what's been evident for a loooong time now.  There mission is profit.  I hope a lot more people check in and read this article.  What an eye opener.

    • 2 votes
    Reply#3 - Thu Apr 15, 2010 11:24 PM EDT
    Colonial82

    Hi Shebow, thank you for your input and welcome.

    I know what you are saying but I still think it is a double standard since they should be reducing costs, but bad eating habits raise their costs. They are trading show term profit for long term losses.

    Have a great day :)

    • 1 vote
    #3.1 - Sat Apr 17, 2010 12:34 AM EDT
    Shebow

    Hey, Colonial82, I'm back. The truth is the whole industry is one giant double standard. Kind of like Alice Through the Looking Glass, really. I can't understand why anyone, except those who profit from it, can support our current privatized health care system. The problem is that there is no way to deliver adequate health care insurance when the bottom line is profits today. This is just another deregulated industry demonstrating that profits will always trump people - unless there is some kind of regulation standing in the way. Ah well. At least now I know that avoiding fast food joints is not only healthier for me, it keeps an extra buck or two of profit from an insurance company.

    • 1 vote
    #3.2 - Wed Apr 21, 2010 5:13 PM EDT
    Colonial82

    At least now I know that avoiding fast food joints is not only healthier for me, it keeps an extra buck or two of profit from an insurance company.

    That is a great point and a great way to think about it. Thank you for giving me extra reasons/excuses to not eat fast food.

    Have a great day.

    • 1 vote
    #3.3 - Thu Apr 22, 2010 8:22 AM EDT
    Reply
    Beauty

    "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."

    Who owns the insurance company? You the people, America. So you see, this is a case of chasing your own tail. You buy and eat the fat and pay your insurance premiums. Just watch Jaime say it. Subtitles advisable.

    • 2 votes
    Reply#4 - Fri Apr 16, 2010 2:48 AM EDT
    Colonial82

    Hi Beauty, thank you for your input and welcome.

    That is very true, but most Americans don't see it that way. It seems like those who actually run those companies don't actually care what is good for those who own it. Some things are more important than profit for the long term.

    Have a great day :)

    • 2 votes
    #4.1 - Fri Apr 16, 2010 4:26 PM EDT
    Reply
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