Becker's Healthcare February 9, 2024
Every major insurer has reported that Medicare Advantage costs are going up.
On quarterly earnings calls, analysts questioned insurance executives on why utilization keeps climbing, and how deep the uptick will cut into margins.
Some executives, including at UnitedHealthcare and Elevance Health, said increases are priced for in 2024 guidance. Humana and CVS Health were forced to reduce their earnings predictions when medical spending climbed higher than expected.
The different stories from industry peers puzzled some analysts — TD Cowen analyst Gary Taylor told Centene executives: “It’s been a while since I’ve seen such divergent views across the industry.”
Here’s what six industry leaders had to say about the trend:
The nation’s largest Medicare...
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