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'Octomom' Insurer Is Among Most Profitable

The Kaiser Foundation Health Plan is among the most profitable health insurers.

The Kaiser Foundation

gained public prominence after Nadya Suleman, the "Octomom," gave birth at the Kaiser Permanente Bellflower Medical Center in Bellflower, California.

But the not-for-profit organization's Kaiser Foundation Health Plan Inc. is also the seventh most profitable U.S. health insurer, with earnings of $202 million, according to an industry-wide analysis. Suleman's hospital bill may swell to $1 million after she delivered octuplets in January, ABC News has reported. She is insured by California's state health plan.

Kaiser Foundation Health Plan is rated A-minus, or "excellent," by Ratings. Kaiser's units generated more than $40 billion in combined premiums in 2007.

Nadya Suleman

In addition to Kaiser, subsidiaries of




UnitedHealth Group





were among the top 25 most profitable insurance companies in the third quarter, the most recent data show.

WellPoint had 10 insurance subsidiaries in the top 25 from states as diverse as California to New Hampshire. UnitedHealth had five. The most profitable insurer was

Health Care Service Corp.

, a mutual company rated A-plus by Ratings. It recorded $600 million in net income.

Gavin Magor joined Ratings in 2008, and is the senior analyst responsible for assigning financial strength ratings to health insurers and supporting other health care-related consumer products, including Medicare supplement insurance, long-term care insurance and elder care information. He conducts industry analysis in these areas. He has more than 20 years' international experience in credit risk management, commercial lending and analysis, working in the U.K., Sweden, Mexico, Brazil and the U.S. He holds a master's degree in business administration from The Open University in the U.K.