Saturday, June 11, 2011

How Could Stock Market Performance Be Tied To Medical Insurance

Medical Insurance in the United States is employment based. Employers receive a tax deduction that can help offset the cost of employment based medical insurance. The difficulty with employment based medical insurance is that it is only temporary. The persons medical insurance is tied to a particular job in a particular company, and it is lost with that job. The loss of a persons job is the loss of their medical insurance.

With job loss companies that derive their revenue from an employed person can struggle. Companies like large domestic clinical labs listed on the stock exchange. The clinical lab depends on a large number of persons making regular doctor visits. Persons without employment lack a valid pay source for medical doctor ordered clinical lab tests.

Without employment based insurance , less persons are using the diagnostic services of a large clinical lab. The stock value is dependent upon increasing levels of revenue. Business being depressed, the stock value is reduced. So less employed persons, means less doctor visits, and less money to pay for lab services.

Remember stock purchases are about buying earned returns for the least amount of money. Home Care Path www.homecarepath.com encourages seniors to consult with a certified financial representative prior to a stock investment.

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