UnitHealth’s management cutting may be a problem for more insurers

UnitedHealth group20% shareholder on Thursday after the company cut the annual earnings forecasthigher medical expenses on Medicare plans having higher proportions of medical expenses.

According to some Wall Street analysts, according to the insurance industry, some Wall Street analysts can be a warning sign for other companies for other companies for other companies, this is a health giant, which is a warning giant for other companies. This is 2024 for health insurers, in 2024, in 2024, which harmed the growth of state payments, medical expenses and public recalls kill The best executive of UnitedHealthcare, Brian Thompson.

UnitedHealthCare, the insurance goal of the UnitedHealthChealth group, the largest provider of these plans. The opponent’s shares Humana and 5% fell About good Dropped more than 1% and CVS 2% collapsed. Cigna Medicare does not have a preferred job. His shares increased by about 1% on Thursday.

The results of the first quarter of the UnitedHealth are discovered by “terrible signs” of medical expenses in Medicare preferences, TD Cowen analyst Ryan Langston, said on Thursday. He added that in 2023, “correctly ahead”, which increases medical expenses, therefore the comments on Thursday will “call the question” for each insurer “.

The higher medical expenses lost the entire insurance industry over the past year, the more elderly returns to the procedures they return to hospitals, for example, they returned to the procedures for such as joint and hip swap. However, the issue was not significant in the UnitedHealthCare before.

Barclays analyst Andrew Cok, attention comments, including Humea and CVs on Thursday, some Medicare preferred companies, including “important” companies, said there may be less problems. Many insurers last year neutralized Medicare preferred markets Due to higher medical expenses and lower compensation rates from the federal government.

Meanwhile, the problem may be a larger agreement for companies that earn a larger market share, such as health and health Alignment healthAccording to the MOC.

United Wealth, the increase in care activity for the year, which is related to the end of the work done in 2024, “he has increased twice,” tendencies used.

He was especially noteworthy to jump in the doctor and outpatient services in which he did not stay in the hospital in one night.

“It’s very unusual,” Lance Wilkes, Bernstein General capital analyst, tell Squawk Box on Thursday of CNBC. According to him, the high level of growing use in the industry has been “really surprising”.

Wilkes, unitedHealth and cancel the intensity of a part of the activities they do to manage the use of the industry, “causes dissatisfaction among patients. For example, some insurers require pre-permits, which requires providers to receive approval of a patient’s insurance company before managing special treatment methods.

“I think it is probably combined because of policy headlines and the company’s investigation,” said Wilkes. “I think Brian Thompson and the company is part of it, and I think this is reflected in the last few years and reflected the Department of Justice examination.”

UnitedHealth is reported to fight a Government investigation His Medicare shipping experience.

He also pointed out issues related to the changes in the profile of patients treated under Thursday, Olitite Cealth, Optum Health facility. This segment includes the Pharmaceutical benefit manager, which is dying by drug resources on behalf of insurers among other responsibilities.

However, witty, the company has taken measures, taking into account the results of improving the results and “highly targeted medical expenses” as “as 2026 progresses in 2026.

If nothing else is, insurers are assigned to get a boost next year. Trump management in April said it would be Significantly increase payment rates Medicare preferences are visiting the proposal before Biden management for insurers.