Money talks, and the abortion business is no different. Planned Parenthood, as I have shown on Monday and Wednesday, seems to hide abortion as much as possible in their annual report, so I asked why this was the case.
I would like to suggest that they are so insistent on this minimization because they do not want to show how much of their actual revenues come from abortions. After all, you wonder why they defend abortion so heartily. I am sure that many Republicans would have no problem supporting Planned Parenthood if they did not provide abortion services, but they continually fight this battle. They say it is on behalf of women, and perhaps, for many of the workers it may be, but I would like to suggest that there are very compelling business interests to continuing to offer abortion services.
We have to work with some imperfect statistics here, but I will be transparent with my methodology and try to be as generous as possible, using pro-choice sources for all of my calculations.
First, according to Planned Parenthood’s own annual report, 321,384 abortions were performed between October 1, 2015 and September 30, 2016.
Second, according to the very liberal, pro-choice Guttmacher Institute, in 2014, 31% of all nonhospital abortions were medication-based as opposed to surgical. I know the years are slightly different, but these numbers are presumably close to representative of the abortions Planned Parenthood performs every year. That means that approximately 99,629 abortions were medication based while approximately 221,755 abortions were surgical. Again, these numbers are rather rough, but assuming Planned Parenthood follows national trends, they should be representative.
The Guttmacher Institute also indicated that in 2014, 53% of people paid out-of-pocket for their own abortions. According to the Planned Parenthood website, the abortion pill can cost up to $975 while a surgical abortions can cost up to $1500. People paying out-of-pocket will obviously not have insurance to help subsidize any costs while the remaining 47% may have insurance that will pay a lesser rate if they were able to negotiate a lower cost. The Planned Parenthood website does not have that information naturally, but let’s say for the remaining 47%, Planned Parenthood only makes 10% of the cost of the abortion pill and 10% the cost of a surgical abortion (estimation drawn from what is apparently the typical hospital reimbursement procedure). Planned Parenthood is probably slightly different than the typical hospital, but for the sake of estimating conservatively, I will proceed with that number since 10% is pretty low.
Let’s crunch some numbers then. There are four groups that will help us determine the approximate total revenue from abortion services performed at Planned Parenthood.
1. 99,629 abortions performed via medication*53% out-of-pocket*$975 cost = $51,483,285.75
2. 99,629 abortions performed via medication*47% insurance pay*$97.50 negotiated cost (estimated, and open to amendment if someone can provide a more accurate number) = $4,565,498.93
3. 221,755 abortions performed surgically*53% out-of-pocket*$1500 cost = $176,295,225
4. 221,755 abortions performed surgically*47% insurance pay*$150 negotiated cost (estimated, and open to amendment if someone can provide a more accurate number) = $15,633,727.50
The grand total comes out to be $247,977,737.18.
According to Planned Parenthood’s website, their total revenues for all of their affiliates put together is $1,163,600,000 approximately.
Obviously, there are associated costs that go with that 21.3% such as the staff to perform the procedures and the cost of the pill, so we’re not talking about 21.3% pure profit, but when you wonder why Planned Parenthood is so dedicated to abortion, look at where the money goes.
Even with my rather lowball estimates based on pro-choice sources and Planned Parenthood’s own released information, you can see why this matters so much to Planned Parenthood. They want to pretend it doesn’t matter, and they hide it on their annual report, but they are in the business of abortion, and abortion makes up a substantial part of their revenues.
If you feel I was uncharitable in my calculations whatsoever, please feel free to email me, let me know where my information is wrong or where I could find better information, and I am happy to update my estimates along with a footnote to specify that I was wrong in the first place. However, I think I have fairly applied what we know from these sources, and if anyone wants to continue to live in the lie that abortions are only 3% of what Planned Parenthood does, look at the revenues. Abortion is a substantial part of their revenue, and is it really any surprise that nationwide, in the same timeframe, Planned Parenthood only set up 3889 adoption referrals. That’s not where the money is, so that’s not what they do.