AARP- an Insurance Company in Non-Profit Clothes July 31, 2011Posted by tkcollier in Business, health.
Tags: AARP, health, Insurance, Seniors
AARP, under the guise of an orginization offering discounts to Seniors, sells their names to companies, who pay heftily to be their exclusive supplier. A recent Hearing Aid company bankruptcy revealed that the deal is very lucrative for AARP. A lion-share of AARP payments come from Seniors into their captive for-profit corporation, which has grown into the 6th largest US Insurance company, with almost half-a-billion dollars in profits. Planned cuts in Medicare, will encourage more Seniors to purchase Medigap Insurance, through AARP’s exclusive agent – United, to the tune of an estimated $1 billion during the next 10 years. The chart shows the decreasing share that is returned to the non-profit side of AARP, except, by non-profit standards, the lush salaries and perks management enjoys, while being on both Boards. Read the full report at AARP_Report.pdf (application/pdf Object).