So as I understand what you said, profit is a bad thing!! Fortune ranks the insurance industry at 47 out of 53 in profits related to revenue (-3% for 2008). Top of that list was Network and Other Communications Equipment at 20.4%. Yahoo finance has accident and health insurance ranked 59th for 2010 with a profit margin of 6.7% about half the return for Railroads.
The numbers say there is not a lot of profit to be had here.

Quote Originally Posted by SadisticNature View Post
It is the case that they are not a new risk but that doesn't help if the insurance company can factor the old risk into the cost of the new plan, which is not prevented by law. Also depending on the disease by most standards the higher rate can be outrageous. If the cost of care that the company knows the client will need is $1200/month with the potential to rise, they aren't going to offer a policy that costs less than $2000/month.

And even $1200/month on medical insurance is beyond many's ability to pay. That's basically a choice of paying the rent(or mortgage) or paying for health care for a lot of Americans.