FACTBOX-Health company winners, losers in US House bill

WASHINGTON, Nov 7 (Reuters) - The U.S. House of
Representatives voted 220-215 on Saturday to pass legislation
overhauling the nation's $2.5 trillion health care system.

The Senate must also vote on its version of a bill, which
is not expected until December at the earliest, and both
chambers would then meet to work out a final measure.

Following are some of the winners and losers in the U.S.
healthcare industry based on language in the House bill.

LOSERS ...

HEALTH INSURERS

Health insurers such as UnitedHealth Group Inc (UNH.N),
Cigna Corp (CI.N) and others could see greater competition,
more scrutiny and fewer protections under the bill.

The sector has said it would take a big hit from a
government-run insurance plan that Democrats say would force
insurers to streamline. Cooperative exchanges and the sale of
insurance plans across state lines also aim to give consumers
more information and choices that could redefine the market.

Profit margins could also shrink with the bill, forcing
insurers to give customer rebates if less than 85 percent of an
enrollee's premiums are spent on actual care.

The public plan itself could also undercut insurers by
paying doctors, hospitals and others rates as low as those
offered by the Medicare plan for the elderly and disabled. Rate
hikes by private insurers would also be scrutinized.

The bill also eliminates the exemption health insurers had
from antitrust laws, explicitly barring them from price fixing,
bid-rigging or dividing up markets.

And while individuals would have to buy a plan or pay a fee
-- a move backed by insurers -- more smaller businesses would
be exempt from the requirement to offer coverage.

Government reimbursement for private Medicare Advantage
health plans would also see cuts.

DRUGMAKERS

Drugmakers would take a larger hit under the House bill
than with another Senate version, which included an agreement
with the industry to provide $80 billion worth of savings over
10 years.

The House version would require drug companies to pay
rebates to the government for drugs used by elderly and
disabled Medicare patients who also are on Medicaid, the health
program for the poor. It also would require the health
secretary to negotiate drug prices under Medicare.

Drugmakers, which include Pfizer Inc (PFE.N),
GlaxoSmithKline Plc (GSK.L) (GSK.N), Merck & Co Inc (MRK.N) and
others, have opposed both ideas.

The House bill would gradually eliminate the Medicare
"doughnut hole," when prescription drug costs are not covered,
by 2019. The drug industry had agreed to provide a 50 percent
discount for drugs in the doughnut hole over the next decade.

... AND WINNERS

DEVICEMAKERS

Lobbyists representing medical devicemakers such as Boston
Scientific Corp (BSX.N), Medtronic Inc (MDT.N) and Stryker Corp
(SYK.N) successfully whittled down an expected $4 billion
annual fee to $2 billion. The industry had wanted the fee
removed altogether.

BIOLOGIC DRUGMAKERS

Brand-name makers of biotechnology drugs would see their
medicines protected from cheaper copycats for at least 12
years. This is a win for the brand-name companies, such as
Amgen Inc (AMGN.O) and Roche Holding AG's (ROG.VX) Genentech
unit, and a defeat for generic drugmakers that want a shorter
period.
(For full coverage of U.S. healthcare reform, click on
[nN20512341])
(Editing by Doina Chiacu)