“He first turned to the employee benefits consultant who had assured him he was getting a great deal—someone whose advice also cost $30 per employee per month.”
“That’s insane, that was millions of dollars,” Cuban says. “The person who put me into a program where I was paying eight times more than I should have for generic medication, they’re done.”
Around the time he dropped the consultant, Cuban was planning to get a CT colonoscopy, which he says would’ve cost more than $2,000 through insurance. Yet the walk-in cost for the same procedure was less than $500.
“What is the purpose of this insurance company that I’m working with—and the PBM that they’re connecting me to—when I can just walk in off the street and save myself a ton of money?” Cuban asks. “What we’ve done at my companies is we’ve walked away from the traditional way.”
Why do employers keep insurance consultants who don’t bring results when others do? The insurance consulting business is a Whores Market.
