[MicroBob]

the part about the companies negotiating for a better price is relevant.

I had also read (somewhere on these forums awhile back...so take that fwiw) that health-insurance is +EV because you can actually get better value for your money because the companies are investing it/earning interest on it.
So the value you are getting is partly from the combined interest of all the money the company has (meaning a higher percentage than if you just invested that money on your own).

Probably not enough to make up for the profit-margin that the companies have I would guess...but this seemed to be the argument that was being made.



I really don't know how it really works....but I can see how it would be possible:


Company makes 10% interest on all the money (including yours).
Company pays out 95% of all the money they have for their customers various surgeries/medications.

If they're paying out only 5% less...but it's AFTER they make 10% interest on it....then the power of all the combined money making more interest actually gives you an overlay on your health-insurance premiums.



I have absolutely no idea whether this is how it works or not....but I find it plausible enough.