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The new arrangements with insurance companies create a tremendous number of potential conflicts for AARP, which is a powerhouse, perceived as the most important voice for older people. AARP will not be perceived as a truly independent advocate on medicate if it's making hefty profits by selling insurance products that provide medicate coverage.
... Marilyn Moon, Former AARP Executive
AARP Revenues AARP has four primary revenue sources: royalty payments (primarily from insurance companies), membership dues, publication advertising, and grants (governmental and non-governmental). In 2009, AARP revenues from royalties were two and half times higher than its membership dues. Since 2002, income generated from AARP membership dues has increased 32%, or $60 million. However, during this same period, income derived from AARP’s business relationships, primarily with insurance companies, nearly tripled, increasing by $417 million. Royalty payments from for-profit companies comprised nearly 46% of AARP’s revenue in 2009, while membership dues totaled just 17% of total revenues.
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Is there a link between support for the President's health care takeover and special favors? In a report released today by the House Ways and Means Committee, "Behind the Veil: The AARP America Doesn't Know," (WORTH THE READ!) Rep. Charles Boustany (R-La.) reveals that AARP could make $1 billion in the next 10 years from the health care takeover. Now that Medicare Advantage has been eliminated, the Washington Examiner explains that law would bring "more business to AARP's insurance division..." Boustany, who is investigating the organization for this conflict of interest, wants the group's tax-exempt status revoked.
For years, AARP has had a distinctly liberal bent. According to reports, the organization's employees donated 90% of their campaign contributions to Democrats in the last two elections. As a group, AARP hasn't been shy about lobbying the federal government either. Its
$27.9 million in advocacy are third only to the U.S. Chamber of Commerce and Exxon Mobile. The group is also no stranger to raking in the tax dollars.
Since 2003, Uncle Sam has doled out $390 million for AARP's job-placement program. Again, this just shows ObamaCare for what it is: a product of dirty dealings and backdoor buy-offs.
Meanwhile, everyone under the sun who endorsed the law has either been paid off or exempted from the policy.
If the groups who lobbied for the plan don't want it, why should we? "Where's my waiver?" asks Colin Hanna of Let Freedom Ring. His organization launched a petition--co-sponsored by FRC Action--asking the President for an American opt-out.
Sign up here! In the meantime, help us push for a permanent waiver...called repeal!